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telephones with Internet and wireless data exceeding the combined total of all computing
access capabilities. The extended enterprise devices several fold. In this paper, we examine
applications are closely followed by wireless how new e-commerce applications can be
commerce applications directly to the designed and supported by wireless and
customer and the consumer via these mobile networks and mobile middleware. We
wireless devices. The market potential for strongly believe that with the widespread
wireless commerce is quite significant [1]. deployment of wireless technologies, the next
Electronic commerce has attracted phase of electronic business growth will be in
significant attention in the last few years. the area of wireless and mobile e-commerce.
This high profile attention has resulted in We are aware that consensus within business
significant progress towards strategies, and industry of such future applications is still
requirements, and development of e- in its infancy. However, we are interested in
commerce applications [2]. We envision examining those future applications and
many new e-commerce applications will be technologies that will form the next frontier of
possible and significantly benefit from electronic commerce.
emerging wireless and mobile networks. We
term these applications "wireless e- II. Characteristics of Wireless
commerce" or "mobile commerce". These The key characteristic of the wireless device
applications are likely to provide new can be summed up in two words “ubiquitous
opportunities for users, developers, interactivity” (Figure I). It is a personal
providers, and researchers. Wireless and device, which is always a handy and available
mobile networks have experienced at all time on a person. In addition, the device
exponential growth in terms of capabilities carries its user identity. This is a significantly
of mobile devices, middleware development, distinctive characteristic as compared to a PC
standards and network implementation, and or a laptop, which are not generally handy or
user acceptance [3]. Currently, more 500 easy to use at a moment’s notice, although
million cell phones and other mobile devices they may be available at all times. Second, a
are in use worldwide, and out of those, more wireless device is distinctly personal and the
than 100 million users are in US alone [4]. usage can be tracked down to an individual
These numbers are projected to rise to 1 rather than the household as in the case of a
billion in the next few years [5] thereby PC or other devices. Third, wireless
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INTERNATIONAL JOURNAL OF COMPUTER APPLICATIONS IN ENGINEERING, TECHNOLOGY AND SCIENCES (IJ-CA-ETS)
technology is “location aware” – that is, it is not just as a Web access. Since wireless is a
easy to track down where the user physically personal device, it is easy to use for
is as long as the wireless device is on. These identification and authentication purposes
characteristics have important marketing both for restricted access and for payment
implications, as we will later analyze. purposes. This implies that it could be used as
a substitute for credit cards. The fact that it is
HOME CAR OFFICE
available at all times to interact with users
suggests that it can be used to obtain instant
feedback from customers at the usage context
ON-THE-MOVE
for market research purposes. The location
Figure I: Ubiquitous Interactivity
awareness characteristic of wireless
The wireless technology also has some technology also suggests the possibility of
constraints that limit its usage in the near providing consumers advertisements,
future [6]. Given the constraints of its size information content (e.g., price alerts) at the
for a handy usage, the user interface of a point of need, be it in a car, or in a brick-and-
wireless device is quite limited and cannot mortar store, or any other place. Many players
display information-rich content in a useful in the wireless application arena are attracted
way. This constraint also limits the client to the enormous potential that wireless
capabilities for processing and storing technology has in customer acquisition and
information and data. Most importantly, the retention. There are four factors that make
bandwidth over the air for wireless wireless the ideal technology to implement the
transmission is also a constraint in the near concept of customer relationship management
future. These constraints limit the use of (CRM): (1) the ability to provide truly
wireless technology for predominantly text- personalized content and service by tracking
based, less information-intensive exchanges personal identity; (2) the ability to track
and interactions. Thus, if wireless consumers across media and over time; (3) to
environment is viewed purely as an provide content and service at the point of
extension of the Internet environment, it is a need, and finally, (4) the capability to provide
downgraded Web access at best. New content of highly engaging characteristic.
possibilities for commerce using the Given this it is not surprising that business-to-
wireless technology emerge when it is seen consumer wireless applications dominate the
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INTERNATIONAL JOURNAL OF COMPUTER APPLICATIONS IN ENGINEERING, TECHNOLOGY AND SCIENCES (IJ-CA-ETS)
list of commerce applications that are The most significant possibilities lie in the
emerging in the market place (see Table I). marketing of services over wireless, ranging
In the B2C domain, wireless can be from interactive games, gambling, booking
effectively used to provide point-of- and ticketing for travel, hotels and events,
purchase support for the buying goods in a banking and stock trading, and for e-
brick and mortar (B&M) environment. This promotion and marketing research purposes.
could be retrieval of product information Wireless also provides a very viable means of
(price, quality ratings of alternatives from streaming customized content (cross media
different competitors), usage of the product content – music, text information at the point
information, budget and payment of need, advertisement) and for interaction
information, etc. Another possibility is the with other users (e-mail, chat, discussion etc).
use for auction purchases where the It is to be noted that substitutes for wireless
anywhere, anytime quality of wireless exist for most of the above applications and
technology proves very useful. Similar uses wireless will become the device of primary
could be visualized in the B2B arena but choice for these applications when all the
impact is a little less significant. virtues of wireless – convenience, cost and
Goods Services Content compulsion to use are fully realized.
Interactive Games Cross-Media
III. The Mobile Commerce Framework
Gambling Content
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scenarios and include discussion on the Finish wireless provider, in their famous Coke
required infrastructure and related business (and now Pepsi) machine service [8]. In effect,
issues. it collects money from the users and credits it
A. Mobile Financial Applications (MFA) to the vending providers. Another way to
perform micro payments may be via using
Mobile Financial Applications are likely to
pre-paid numbers purchased from a service
be one of the most important components of
provider, bank, or credit-card company.
m-commerce. These could involve a variety
of applications such as mobile banking and
Mobile Banking/Brokerage
brokerage service, mobile money transfer,
and mobile micro-payments as shown in Mobile Money
Figure III. These services could turn a Transfer
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Applications
and American models of mobile commerce.
Since the area of mobile commerce is very
Middleware/ Mobile Middleware
new and emerging, we have added several
interesting research problems that are either
Wired Network Wireless Network
currently being addressed by our group or
should be addressed by the research and
development community.
Figure IV. Mobile middleware for application
References
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300K is a range for most wireless and
[5] http://www.allnetdevices.com/news/9911
mobile middlewares).
/991103 ecomm/ 991103ecomm.html
VI. Related Issues and Conclusions
[6] S. Rahamatkar, S. Gaddam & P.K Bharti
In this paper, we have looked into several
“Futuristic Developments in Communication
issues that we consider important for mobile
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several new classes of applications,
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several key differences between European
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