CHAPTER 6 Wireless, Mobile Computing and Mobile Commerce Copyright John Wiley & Sons Canada1 Chapter 6: Wireless, Mobile Computing and Mobile Commerce 6.1 Wireless Technologies 6.2 Wireless Computer Networks and Internet Access 6.3 Mobile Computing and Mobile Commerce 6.4 Pervasive Computing 6.5 Wireless Security Issues Copyright John Wiley & Sons Canada 2 LEARNING OBJECTIVES 1. Describe the four main types of wireless transmission media. Identify at least one advantage and one disadvantage of each type. 2. Discuss the basic purposes of short-range, mediumrange, and long-range networks. Explain how businesses can use at least one technology employed by each type of network. Copyright John Wiley & Sons Canada 3 LEARNING OBJECTIVES (CONTINUED) 3. Discuss the five major m-commerce applications. Provide a specific example of how each application can benefit a business. 4. Define “pervasive computing”, describe two technologies that underlie this technology. Provide at least one example of how a business can utilize each one. 5. Identify the four major threats to wireless networks. Explain, with examples, how each one can damage a business. Copyright John Wiley & Sons Canada 4 CASE 6.1 THE BATTLE FOR THE MOBILE WALLET The Problem – To satisfy customers and keep their business, retailers are looking for strategies to speed up the checkout process and improve the overall customer experience. One strategy is to rely on customers’ smart phones as a replacement for all of their credit and debit cards. Instead of swiping a plastic card at the checkout counter, consumers merely wave their phones a few inches above a payment terminal. This process uses a contact-free technology called near-field communications or mobile wallet. The issues are: • major battle among large corporations for market share (Visa, MC, PayPal, etc.) • companies (i.e. Starbucks) are developing proprietary mobile wallet technologies • retailers, have to install terminals that accept mobile payments Source: Slavoljub Pantelic/ Shutterstock Copyright John Wiley & Sons Canada 5 CASE 6.1 THE BATTLE FOR THE MOBILE WALLET The Solutions – Mobile phone carriers. Three large cellular providers in Canada—Bell, Rogers, and TELUS—have a joint venture called EnStream that creates a digital wallet into which customers of card-issuing banks can easily move their accounts. – Credit card issuers. In 2000, RBC (Royal Bank of Canada, www.rbc.com) and BMO (Bank of Montreal, www.bmo.com) formed a joint venture called Moneris (www.moneris.com). Moneris allows consumers to make purchases with the tap of a button, instead of having to enter their credit card number, billing address, and other information each time they make a transaction. Copyright John Wiley & Sons Canada 6 CASE 6.1 THE BATTLE FOR THE MOBILE WALLET The Solutions Continued – Technology companies. Google has its own payment system called Google Wallet (www.google.com/wallet/how-it-works/). PayPal has developed PayPal X, which has evolved into XCommerce (www.x.com). – Individual companies. Starbucks has a pay-by-phone service (www.starbucks.ca) and Tim Hortons has similarly gone to paperless payments (although it is not considered a mobile wallet). You can use a debit card, credit card, or load money onto your Tim Hortons card for contact-free payments. Copyright John Wiley & Sons Canada 7 CASE 6.1 THE BATTLE FOR THE MOBILE WALLET The Results – The potential for large revenue streams is real, because mobile wallets have clear advantages. For example: Which are you more likely to have with you at any given moment—your phone or your physical wallet? Also, keep in mind that if you lose your phone, it can be located on a map and remotely deactivated. Plus, your phone can be password protected. Your physical wallet, however, does not have such tools. Copyright John Wiley & Sons Canada 8 CASE 6.1 THE BATTLE FOR THE MOBILE WALLET Discussion – What are the benefits and drawbacks for using the Mobile Wallet? • For consumers? • For retailers? Copyright John Wiley & Sons Canada 9 WIRELESS V. MOBILE • • Wireless means exactly what it says: without wires. In contrast, mobile is something that changes its location over time. Copyright John Wiley & Sons Canada 10 DEFINITIONS • • • Mobile computing involves a real-time, wireless connection between a mobile device and other computing environments, such as the Internet or an intranet. Mobile commerce (m-commerce) involves e-commerce (EC) transactions that are conducted with a mobile device. Pervasive computing (ubiquitous computing) means that virtually every object has processing power with wireless or wired connections to a global network. Copyright John Wiley & Sons Canada 11 WIRELESS DEVICES • Wireless devices provide three major advantages to users: 1. 2. 3. They are small enough to easily carry or wear. They have sufficient computing power to perform productive tasks. They can communicate wirelessly with the Internet and other devices. Copyright John Wiley & Sons Canada 12 CAPABILITIES OF WIRELESS DEVICES – – – – – – – – – Cellular telephony Bluetooth Wi-Fi Digital camera Global positioning system Organizer Scheduler Address book Calculator Copyright John Wiley & Sons Canada – E-mail access – Short message service (SMS) – Instant messaging – Text messaging – MP2 music player – Video player – Internet access – QWERTY keyboard 13 6.1 WIRELESS TECHNOLOGIES • Individuals find wireless devices convenient and productive to use for several reasons. – They can make productive use of time that formerly was wasted (for example, the time spent commuting to work on public transportation). – Because people can take these devices with them, their work locations are becoming much more flexible. – Wireless technology enables working time to be scheduled around personal and professional obligations. Copyright John Wiley & Sons Canada 14 6.1 WIRELESS TECHNOLOGIES • Wireless devices: are small enough to easily carry or wear, have sufficient computing power to perform productive tasks and can communicate wirelessly with the Internet and other devices. Copyright John Wiley & Sons Canada 15 HISTORY OF THE CELL PHONE • Check out the history of the cell phone in images Copyright John Wiley & Sons Canada 16 THE POWER OF CELL PHONES • • By 2011 there were 6 billion (representing more than 85 percent of the world’s population at that time). This represents the fastest global diffusion of any technology in human history. Cell phones have made an even bigger difference in less time in underdeveloped areas where land lines are scarce. Cell phones have become the driving force behind many modernizing economies. Copyright John Wiley & Sons Canada 17 THE POWER OF CELL PHONES • • • • Cell phones can heavily influence politics. Your cell phone now can be your wallet. In many large cities, cell phones are being used to transmit real-time traffic information, such as automobile speeds, the extent of traffic jams, and expected travel times, and to pay for parking. Femtocells work with any cell phone, and they relieve congestion on cell towers and cellular frequencies by creating extra capacity at very low cost. Copyright John Wiley & Sons Canada 18 WIRELESS TRANSMISSION MEDIA • Wireless media, or broadcast media, transmit signals without wires. The major types of wireless media are: – – – – microwave satellite radio infrared Copyright John Wiley & Sons Canada 19 SATELLITE FOOTPRINT COMPARISON Copyright John Wiley & Sons Canada 20 WIRELESS TRANSMISSION MEDIA • • Microwave Transmission Satellite transmission – Geostationary Orbit (GEO) – Middle Earth Orbit (MEO) – Low Earth Orbit (LEO) • • Internet Over Satellite (IOS) Radio Copyright John Wiley & Sons Canada 21 HOW THE GLOBAL POSITIONING SYSTEM WORKS • Click here to go to a link explaining GPS capabilities. Copyright John Wiley & Sons Canada 22 GPS SYSTEMS Copyright John Wiley & Sons Canada 23 OTHER GPS • Three other global positioning systems are either planned or operational: – Russian GLONASS – European Union GALILEO – China BEIDOU Copyright John Wiley & Sons Canada 24 INFRARED • A test to see if your TV remote control is working Copyright John Wiley & Sons Canada 25 6.2 WIRELESS COMPUTER NETWORKS AND INTERNET ACCESS • Short range wireless networks – Bluetooth, Ultra-Wideband, Near-Field Communications • Medium range wireless networks – Wireless Fidelity (Wi-Fi), Wi-Fi Direct, MiFi, Wireless Mesh Networks • Wide area wireless networks Copyright John Wiley & Sons Canada 26 SHORT RANGE WIRELESS NETWORKS • • • Bluetooth Ultra-Wideband Near-Field Communications Copyright John Wiley & Sons Canada 27 BLUETOOTH • Click here to access industry information on Bluetooth Copyright John Wiley & Sons Canada 28 ULTRA-WIDEBAND (UWB) • • Ultra-wideband (UWB) is a high-bandwidth wireless technology with transmission speeds in excess of 100 Mbps. Example: streaming multimedia from, say, a personal computer to a television. This article discusses the use of UWB in fire-fighting. Copyright John Wiley & Sons Canada 29 NEAR-FIELD COMMUNICATIONS (NFC) • Near-field communications (NFC) has the smallest range of any short-range wireless network. It is designed to be embedded in mobile devices such as cell phones and credit cards. Copyright John Wiley & Sons Canada 30 MEDIUM RANGE WIRELESS NETWORKS • • • • Wireless Fidelity (Wi-Fi) Wi-Fi Direct MiFi Wireless Mesh Networks Copyright John Wiley & Sons Canada 31 A WI-FI HOTSPOT Copyright John Wiley & Sons Canada 32 WIRELESS MESH NETWORKS Copyright John Wiley & Sons Canada 33 WIDE-AREA WIRELESS NETWORKS • Cellular Radio – – – – – • 1st Generation 2nd Generation 2.5 Generation 3rd Generation (3G) 4th Generation (4G) Wireless Broadband or WiMax Copyright John Wiley & Sons Canada 34 SMART PHONE AND GPS SYSTEM Copyright John Wiley & Sons Canada 35 WIRELESS BROADBAND OR WIMAX • Worldwide Interoperability for Microwave Access, popularly known as WiMAX: – has a wireless access range of up to 50 kilometres, compared with 100 metres for Wi-Fi – has a data-transfer rate of up to 75 Mbps – is a secure system, and it offers features such as voice and video – antennas can transmit broadband Internet connections to antennas on homes and businesses several kilometres away – can provide long-distance broadband wireless access to rural areas and other locations that are not currently being served Copyright John Wiley & Sons Canada 36 6.3 MOBILE COMPUTING AND MOBILE COMMERCE • Mobile computing has two major characteristics that differentiate it from other forms of computing: – Mobility – Broad reach Copyright John Wiley & Sons Canada 37 MOBILE COMPUTING • Five value-added attributes of mobile computing: – – – – – Ubiquity Convenience Instant connectivity Personalization Localization of products and services Copyright John Wiley & Sons Canada 38 MOBILE COMMERCE • The development of m-commerce is driven by the following factors: – – – – – Widespread availability of mobile devices No need for a PC The “cell phone culture” Declining prices Bandwidth improvement Copyright John Wiley & Sons Canada 39 MOBILE COMMERCE APPLICATIONS • • • • • Location-Based Applications and Services Financial Services Intrabusiness Applications Accessing Information Telemetry Copyright John Wiley & Sons Canada 40 LOCATION-BASED APPLICATIONS • Location-based mobile commerce is called locationbased commerce or L-commerce. – Shopping from Wireless Devices – Location-based Advertising – Location-based Services Copyright John Wiley & Sons Canada 41 USING GOOGLE EARTH FOR LOCATION-BASED SERVICES • Click here to access industry information on Google Earth Copyright John Wiley & Sons Canada 42 MOBILE COMMERCE APPLICATIONS • Financial Services include: – – – – – Banking Wireless payments & micropayments Money transfers Wireless wallets Bill-payment services Copyright John Wiley & Sons Canada 43 ACCESSING INFORMATION • • Mobile Portal Voice Portal Copyright John Wiley & Sons Canada 44 TELEMETRY • Examples of Telemetry Applications – Medicine – Automobiles www.onstar.com/ca – Find My iPhone Copyright John Wiley & Sons Canada 45 6.4 PERVASIVE COMPUTING • • Pervasive computing, also called ubiquitous computing, is a world in which virtually every object has processing power together with wireless or wired connections to a global network. Two technologies provide the infrastructure for pervasive computing: – Radio Frequency Identification (RFID) – Wireless Sensor Networks Copyright John Wiley & Sons Canada 46 RADIO-FREQUENCY IDENTIFICATION (RFID) TECHNOLOGY • • • A QR code is a two-dimensional code, readable by dedicated QR readers and camera phones. RFID systems use tags with embedded microchips, which contain data, and antennas to transmit radio signals over a short distance to RFID readers. A typical barcode, known as the Universal Product Code (UPC), is made up of 12 digits that are batched in various groups. Copyright John Wiley & Sons Canada 47 QR CODES • QR codes have several advantages over barcodes: – can store much more information than barcodes. – data types include numbers, text, URLs, and even Japanese characters – size is small because they store information horizontally and vertically – more resistant to damage than are barcodes – can be read from any direction or angle, so the possibility of a failure in reading a QR code is reduced. Copyright John Wiley & Sons Canada 48 RFID Tags • There are two basic types of RFID tags: – Active RFID tags use internal batteries for power, and they broadcast radio waves to a reader. – Passive RFID tags rely entirely on readers for their power. • See video illustrating an example of the commercial use of RFID Copyright John Wiley & Sons Canada 49 BARCODES • Anatomy of a 12-digit barcode (UPC): – first digit identifies the item type – next five digits identify the manufacturer – next five identify the product – last digit is a check digit for error detection Copyright John Wiley & Sons Canada 50 WIRELESS SENSOR NETWORKS • • Wireless sensor networks (WSNs) are networks of interconnected, battery-powered, wireless sensors called motes that are placed into the physical environment. Motes: – collect data from many points over an extended space – contains processing, storage, and radio-frequency sensors and antennas – “wakes up” or activates for a fraction of a second when it has data to transmit Copyright John Wiley & Sons Canada 51 6.5 WIRELESS SECURITY • There are four major threats to wireless networks: – – – – Rogue access point War driving Eavesdropping RF (Radio frequency) jamming Copyright John Wiley & Sons Canada 52 CHAPTER CLOSING • • • Four main types of wireless transmission media: microwave transmission, satellite transmission, radio transmission, infrared Three types of networks: short-range wireless, mediumrange wireless and wide area networks Five major m-commerce applications: location-based services, mobile financial applications, intrabusiness applications, accessing information, telemetry Copyright John Wiley & Sons Canada 53 CHAPTER CLOSING (CONTINUED) • • Two technologies provide the infrastructure for pervasive computing: radio-frequency identification (RFID) and wireless sensor networks (WSNs). Four major threats to wireless networks: rogue access points, war driving, eavesdropping, and radio-frequency jamming Copyright John Wiley & Sons Canada 54 Copyright Copyright © 2014 John Wiley & Sons Canada, Ltd. All rights reserved. Reproduction or translation of this work beyond that permitted by Access Copyright (the Canadian copyright licensing agency) is unlawful. Requests for further information should be addressed to the Permissions Department, John Wiley & Sons Canada, Ltd. The purchaser may make back-up copies for his or her own use only and not for distribution or resale. The author and the publisher assume no responsibility for errors, omissions, or damages caused by the use of these files or programs or from the use of the information contained herein.