Is iBeacon chopped liver?

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Is iBeacon chopped liver?

Marilyn Matty
Since Apple announced iBeacon, I've been hearing and reading about how much better the technology is that NFC, especially that it is less expensive to implement, it has better range, can locate users more precisely, brick and mortar retailers don't have to pay for individual price tags, etc. But I haven't heard iBeacon mentioned in Apple Pay, Watch, or either of the new iPhones.

Any ideas about the future of iBeacon?

Marilyn


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Re: Is iBeacon chopped liver?

Qazwart
iBeacon will still be used. However, Apple decided to go with NFC technology. It might have decided that because NFC is already well known, and the technology they’re using is compatible with current equipment. Plue, it allows Apple to set the standard protocol on financial transactions. This way, Google too can use the same system.

It’s a long story and makes the plot of The Game of Thrones seem simple in comparison. Secure Element is a storage area in the phone that’s protected from the rest of the OS. It contains the financial system and a basic API for using that information. The only way to get to that intonation is through the API. The rest of the phone cannot access it. Google had their own Secure Element solution called Google Wallet. It’s been in Android phones for about two years. Unfortunately for Google, neither the banks nor the cell phone carriers supported it. Google Wallet would allow Google to skim the financial transactions for information and put it into their users' profile. The banks were worried that Google could one day cut them out of the market and Google Wallet could compete against Visa and Mastercard. The carriers simply wanted a piece of the action (especially since their networks would be used).

The carriers came up with ISIS later renamed Softcard, and the banks backed that. Softcard also relies on secure element, but would require Google’s cooperation since Google would have to include the Softcard secure element in Google phones and include changes to the OS to use it.

After two years of bickering, Google came up with another solution called Host Card Emulation (HCE). It is entirely a software solution and doesn’t depend upon a secure element. Google abandoned Google Wallet and Google’s ability to peek at the transactions. HCE cut out the carrier’s Softcard system. It would allow the banks to come up with their own scheme. Every financial network (Visa and Mastercard) would have its own protocol and all apps would have to be written to use it. However, it doesn’t require new hardware since it doesn’t use secure element, and HCE was baked into Android 4.4, so it could be implemented quickly.

Google did HCE as a Hail Mary pass. It got wind that Apple was working on a solution, and wanted to get something going before Apple beat them to the market. The banks backed HCE over Softcard because it was the best that they could hope for.
 
Too late. Apple announced their plan, got the support of the banks and the merchants. Apple’s system includes a secured element, so all other systems will have to use a similar setup. The carriers can’t block Apple like they could with Google. The banks got the secure element they wanted. Apple designed the whole system. Google can implant it, but it will require new phones with new secure elements and a new OS that’s certified to use this secure element. It might take a while for Android to catch up.


On Sep 11, 2014, at 4:04 PM, <[hidden email]> <[hidden email]> wrote:

> Since Apple announced iBeacon, I've been hearing and reading about how much better the technology is that NFC, especially that it is less expensive to implement, it has better range, can locate users more precisely, brick and mortar retailers don't have to pay for individual price tags, etc. But I haven't heard iBeacon mentioned in Apple Pay, Watch, or either of the new iPhones.
>
> Any ideas about the future of iBeacon?
>
> Marilyn
>
>
> ____________TidBITS Talk Participation Guidelines____________
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Re: Is iBeacon chopped liver?

@lbutlr
In reply to this post by Marilyn Matty
On 11 Sep 2014, at 14:04 , [hidden email] wrote:
> Since Apple announced iBeacon, I've been hearing and reading about how much better the technology is that NFC, especially that it is less expensive to implement, it has better range, can locate users more precisely, brick and mortar retailers don't have to pay for individual price tags, etc.

All of these are true.

> But I haven't heard iBeacon mentioned in Apple Pay, Watch, or either of the new iPhones.

Different use cases. there are a couple of advantages to NFC:

1) Existing POS (Point of Sale) infrastructure
2) ZERO energy requirement
3) requires very close proximity (a couple of inches)

> Any ideas about the future of iBeacon?

iBeacon is being used and being deployed and is still somewhat of a new thing, but it is a different thing than NFC.


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Re: Is iBeacon chopped liver?

Chris Poterala
>> Any ideas about the future of iBeacon?
>
> iBeacon is being used and being deployed and is still somewhat of a new thing, but it is a different thing than NFC.
>

I don't think we have ever seen iBeacon given much "presence" at
earlier product announcements. It's a solution for businesses. It
exists "behind the scenes" if you will but it's still very much part
of Apple's strategy with retailers.

https://gigaom.com/2014/09/05/how-apple-can-succeed-in-mobile-payments-with-nfc-ibeacon-the-iphone-6-and-iwallet/

http://techcrunch.com/2014/09/07/smarttables-hack/

http://www.patentlyapple.com/patently-apple/2014/08/apples-ibeacon-technology-is-being-adopted-by-uks-ipc-media-and-tesco-owned-one-stop-convenient-stores.html

chris poterala - [hidden email]
http://twitter.com/potsie


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