BIOMETRIC AUTHENTICATED PAYMENTS

Table of Contents

Section

Executive Summary

• Challenges of Alternative Payments Innovation
• Electronic Payments
• Focus of Report
• Technology
• Competition, Cooperation, Partnerships
• Conclusion

Overview of Alternative Payments

• Overview of Alternative Payments
  • Scope of this Report
• The Way People Pay
  • Three Ways of Paying
  • Paying on Account and Extending Credit
• The Payments Value Chain
  • Potential to Shorten the Value Chain
• The Four Party Payment System
  • Authorization
  • Clearing and Settlement
• Interchange Fees
• Types of Alternative Payments
  • Contactless Payments (Debit And Credit)
  • Mobile Payments
  • Biometric Payments
  • Specialized Payment Markets
    • Micropayments
    • Social Money
• Key Market Segments
  • Mainstream Market
  • Unbanked, Immigrants, and Credit Challenged
  • Unbanked -- International
  • Youth Market
  • Merchants
• Conclusion

Figures:

• Overview of Alternative Payments - How A Purchase Is Made
• Overview of Alternative Payments - How A Merchant Gets Paid

Tables:

• Annual Number of Noncash Payments

Alternative Payments Technology

• Introduction
• Magnetic Stripe
• Radio Frequency Identification (RFID)
  • RFID Acceptance
• Smart Cards
• Short Message Service (SMS)
  • Direct Debit Using SMS
• Near Field Communications (NFC)
  • NFC Trials
  • Philips Arena Trial in Atlanta, Georgia
  • NFC Trial in Dallas, Texas
  • NFC Potential
  • NFC Developments in Japan
  • NFC In Europe
• Biometrics
  • Fingerprint Template and Payment Procedure
• Industry Coordination and Standards
  • RFID
  • m-Payments and Contactless Payments
  • NFC Forum
• Payments: Mag-Stripe, Contactless, Smart Card, Wireless, Biometrics
• Conclusion

Market Drivers and Trends

• Introduction
• Speed and Convenience
• Country Specific/Cultural Factors
• Differing Payments Infrastructures By Country
• Ease of Use, Fumble Factor
• Micropayments
• Microcomputer in the Hand
• Cool Factor
• Retaining Customer Loyalty -- Rebates and Coupons
• Payment/Cardholder Steering
• Unbanked Population (Immigrants, Credit Challenged)
• High Credit Card Fees -- Background on PIN-Based Debit Cards
• Disintermediaton
• Security Concerns
• Active versus Relatively Passive Payment Action
• Government Support and Regulation
• Need for Online Payments, New Payment Alternatives
  • PayPal
  • Google Checkout
• Un-Drivers
• Point of Sale Equipment
• Other Payment Providers
  • MoneyGram International
  • Peppercoin

Biometric Authenticated Payments

• Introduction
• Biometric Authentication
• How Payments Work
• Merchant Benefit
• Security Discussion
• Need for Registration
• Applications and Trials
• Market Evolution
• Potential Users
• Key Players
  • Biometric Service Providers
    • Pay By Touch
    • Privaris
    • Digital Defense Group
    • IdentiSys
  • Authentication Companies
    • Gemalto (Axalto, Gemplus)
    • US Biometrics
  • Technology Providers
    • NCR
    • Facekey
    • Fingerprint Cards
  • Card Companies
    • Discover Financial

Market Projections

• Introduction
• Biometrically Authenticated Payments
  • Current Market
  • Key Assumptions
  • Market Forecasts

Figures:

• Biometric Company Revenues Resulting From Biometric Authorization of Payments at U.S. Merchants - 2006 to 2011
• Payment Revenues at U.S. Merchants Resulting Form Biometric Authentication - 2006 to 2011

Tables:

• Likelihood of Certain Major Retail Categories Utilizing Biometric Payments