Ambient Transaction System Using Integrated Sessions
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Solution Overview
Problem
Current payment systems in POS environments are costly, complex, and vulnerable to fraud, requiring expensive hardware and software integration, as well as PCI compliance, and often necessitate consumers to carry payment instruments, which can be inconvenient and insecure.
Innovation Solution
An ambient transaction system that facilitates transactions between devices through a platform establishing integrated sessions, allowing secure digital transactions without the need for traditional POS infrastructure, using APIs and presentment technologies, and enabling payment on a connected device without requiring custom applications or physical payment instruments.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Reliability
If traditional POS hardware and software integration is used to facilitate transactions, then transaction functionality is achieved, but implementation cost and system complexity increase significantly
Solution Approach 1:
The patent extracts the transaction processing functionality from traditional POS hardware and software systems, isolating it into a standalone mobile application that can operate independently without requiring complex infrastructure. This extraction eliminates the need for expensive POS terminals, pin pads, and integrated software systems while maintaining core transaction capabilities.
Solution Approach 2:
The patent introduces an intermediary layer in the form of a mobile device that mediates between the consumer and merchant systems. The mobile application acts as a bridge, handling transaction processing, security verification, and data exchange without requiring direct integration between merchant POS systems and payment networks, thereby simplifying the overall system architecture.
2Reliability
If PCI compliance and security measures are implemented in traditional POS systems, then transaction security is improved, but implementation cost and operational effort increase
Solution Approach 1:
The mobile application implements self-service security mechanisms, automatically handling encryption, tokenization, and compliance requirements without requiring manual configuration or maintenance. The system autonomously manages security protocols, reducing the operational burden on merchants while maintaining high security standards.
Solution Approach 2:
The patent uses tokenization to create secure copies of payment instrument data, replacing sensitive information with tokens that can be transmitted and processed without exposing actual card details. This approach maintains security compliance while simplifying data handling and reducing the scope of PCI requirements.
3Ease of operation
If consumers use mobile payment applications to carry payment instruments, then portability and convenience are improved, but vulnerability to fraudulent activity increases
Solution Approach 1:
The mobile application implements preliminary anti-action by proactively detecting and preventing fraudulent activities before they can compromise user funds. The system uses real-time verification, anomaly detection, and secure authentication mechanisms to block potential fraud attempts, addressing security concerns before they materialize into actual threats.
Solution Approach 2:
The system performs preliminary actions by pre-authorizing and securing payment instruments before transactions occur. Payment methods are verified, tokens are generated, and security protocols are established in advance, ensuring that when a transaction occurs, the groundwork for secure processing is already in place, reducing vulnerability to fraud.
4Reliability
If traditional payment instruments are used for transactions, then payment functionality is achieved, but consumer convenience and security are reduced
Solution Approach 1:
The mobile application serves multiple functions within a single platform, combining payment processing, account management, transaction history, security verification, and customer service capabilities. This multi-functionality eliminates the need for consumers to carry multiple payment instruments or use separate systems for different payment needs, greatly enhancing convenience while maintaining robust functionality.
Data Source
AI summary
An ambient transaction system is described for facilitating various transactions types between a management system and a connected device over a transaction platform. Based on a variety of different triggering conditions, the transaction platform may establish an integrated session among the transaction platform, the management system, and the connected device. The transaction platform includes integrated logic of the management system such that a presentment layer provided to the connected device by the transaction platform via the integrated session includes features of the management system associated with the transaction type. When the transaction is a payment transaction, the features may include a payment feature through which checkout options may be selected for payment via the connected device. Upon receiving a payment selection from the connected device, the transaction platform may transmit the payment information to a payment processing system, and provide payment confirmation to at least the management system.