Proximity Authentication for Secure Device-to-Device Payments

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Solution Overview

Problem

Existing payment systems face challenges such as limited availability of payment terminals, long queues, and security vulnerabilities like barcode alteration and card-not-present transaction risks, leading to customer frustration and increased fraud potential.

Innovation Solution

A device-to-device communication system is established between a user device and a point of interaction device within a reference distance, involving authentication procedures and secure data transmission to facilitate secure transactions.

Engineering Contradictions & Design Principles

VSEngineering Contradiction Analysis

1Ease of operation

If image-based payment systems (barcode scanning) are used, then convenience is improved, but security deteriorates due to barcode alteration and unauthorized access risks

Engineering Contradiction:

Improvepayment convenienceVSAvoidtransaction security

Core Design Contradiction:

Ease of operationVSReliability

Solution Approach 1:

The patent introduces an intermediary authentication mechanism between the user device and POI device. Before transaction data is exchanged, mutual authentication is performed to verify the legitimacy of both parties, preventing unauthorized access and barcode manipulation attacks while maintaining the convenience of mobile payment

Inventive Principle:

Principle #24Intermediary (Mediator)

2Adaptability or versatility

If in-vehicle payment systems with cloud processing are used, then functionality is improved, but security deteriorates due to card-not-present transaction risks

Engineering Contradiction:

Improvepayment functionalityVSAvoidtransaction security

Core Design Contradiction:

Adaptability or versatilityVSReliability

Solution Approach 1:

The patent segments the payment system into distinct authentication and transaction phases. Mutual authentication is completed first to establish secure identities, then transaction data is exchanged through authenticated channels. This segmentation isolates security-critical authentication from the transaction processing, reducing risks associated with card-not-present transactions

Inventive Principle:

Principle #1Segmentation

3Productivity

If device-to-device communication is implemented, then terminal availability is improved, but device complexity increases

Engineering Contradiction:

Improveterminal availabilityVSAvoidcommunication system complexity

Core Design Contradiction:

ProductivityVSDevice complexity

Solution Approach 1:

The patent implements a universal authentication framework that can operate across different device types (mobile phones, vehicles, wearables) and communication protocols. The mutual authentication mechanism and secure data exchange protocol are designed to be protocol-agnostic, allowing diverse devices to interoperate without requiring device-specific complex implementations

Inventive Principle:

Principle #6Universality (Multi-functionality)

Data Source

PatentUS20260040372A1Apparatus and method for location triggered secure data transaction based on device-to-device communications

Publication Date: 2026.02.05 QUALCOMM INC

AI summary

Disclosed are techniques for wireless communication. In an aspect, a user device may establish a device-to-device communication with a point of interaction (POI) device based on a distance between the user device and the POI device being within a reference distance. The user device may engage in an authentication procedure with the POI device via the device-to-device communication to verify authenticity of the POI device. The user device may send transaction data to the POI device via the device-to-device communication after the authenticity of the POI device is verified. The user device may terminate the device-to-device communication after the transaction data is sent to the POI device.