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06/19/09 Copyright Ankita 1

 To understanding the basic of M-commerce


 Benefit of M-commerce with small business
 Know about technology that based on M-commerce
 How to apply technology of M-commerce for business
 Know about advantage and disadvantage of M-commerce

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E-Commerce with mobile devices (PDAs, Cell
Phones, Pagers, etc.)
Different than E-Commerce?
No, but additional challenges:
 Security
 Usability
 Heterogeneous Technologies
 Business Model Issues

But first, let’s learn a little about wireless


technologies…

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Generations
 1G: 1979-1992 wireless technology
 2G: current wireless technology; mainly
accommodates text
 2.5G: interim technology accommodates graphics
 3G: 3rd generation technology (2001-2005) supports
rich media (video clips)
 4G: will provide faster multimedia display (2006-till
date)

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GPS: Satellite-based Global Positioning System
PDA: Personal Digital Assistant—handheld
wireless computer
SMS: Short Message Service
EMS: Enhanced Messaging Service
MMS: Multimedia Messaging Service
WAP: Wireless Application Protocol
Smartphones—Internet-enabled cell phones
with attached applications

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Financial Services.

Entertainment.

Shopping.

Information Services.

Payment.

Advertising.

And more ...

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Entertainment Communications
• Music • Short Messaging
• Games • Multimedia Messaging
• Graphics • Unified Messaging
• Video • e-mail
• Pornography • Chatrooms
• Video - conferencing
M- commerce
Information
Transactions
• News
• Banking
• City guides
• Broking
• Directory Services
• Shopping
• Maps
• Auctions
• Traffic and weather
• Betting
• Corporate information
• Booking & reservations
• Market data
• Mobile wallet
• Mobile purse

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Less processing power on devices
 Slow Modular exponentiation and Primality
Checking (i.e., RSA)
 Crypto operations drain batteries
(CPU intensive!)
Less memory (keys, certs, etc. require storage)
Few devices have crypto accelerators, or
support for biometric authentication
No tamper resistance (memory can be
tampered with, no secure storage)
Primitive operating systems w/ no support for
access control (Palm OS)

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Link Layer Security
 GSM: A3/A5/A8 (auth, key agree, encrypt)
 CDMA: spread spectrum + code seq
 CDPD: RSA + symmetric encryption

Application Layer Security


 WAP: WTLS, WML, WMLScript, & SSL
 iMode: N/A
 SMS: N/A

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Hard Data Entry
 Poor Handwriting Recognition
 Numeric Keypads for text entry is error-prone
 Poor Voice Recognition
 Further complicates security (entering passwords /
speaking pass-phrases is hard!)
Small Screens
 i.e., can’t show users everything in “shopping cart”
at once!
Voice Output time consuming

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Graffiti (Scaled-down handwriting recognition,
Palm devices)
T9 Text Input (Word completion, most cell
phones)
Full alphanumeric keypad & scrollbar
(Blackberry)
Restricted VoiceXML grammars for better voice
recognition
Careful task-based Graphical User Interface &
Dialog Design
Lots of room for improvement!

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Many link layer protocols (different security
available in each)
Many application layer standards
Businesses need to write to one or more
standards or hire a company to help them!
Many device types:
 Many operating systems (Palm OS, Win CE,
Symbian, Epoch, …)
 Wide variation in capabilities

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HTML/Web screen scraping
Protocol & Mark-up language translators
Standardization

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Possible Models:
 Slotting fees
 Wireless advertising (text)
 Pay per application downloaded
 Pay per page downloaded
 Flat-fees for service & applications
 Revenue share on transactions

Trust issues between banks, carriers, and


portals
Lack of content / services

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 Your Internet offerings are easier and more convenient to
access. 
 You get considerable flexibility while conducting
business. 
 Transaction and personnel costs are reduced due to
widespread automation of   
 back-office operations. 
 Field staff is more effective as they have flexible access to
back-office data.   

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For a small business could benefit from m-commerce.
 Selling a product or service
 Improving productivity

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 Offers many payment options
 Push advertising, direct marketing.
 More efficient and extensive service offered.
 The Internet is going mobile

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 Expensive cost
 Larger screens won’t be displayed is clear
 Slow speed
 Limited for longer message
 It hard way to fill the data.
 Security is not protected

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 Mobile banking
 Mobile ticketing
 Mobile marketing
 Micro-payment

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The core of m-commerce is the use of a terminal
(telephone, PDA, PC device) and public mobile network to
access information and conduct transactions that result
in the transfer of value in exchange for information,
services or goods. Mobile Commerce refers to any
transaction with monetary value that is conducted via a
mobile telecommunications network.

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06/19/09 Copyright Ankita 21

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