Transaction Data Segmentation for EMV Protocol Compatibility
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Solution Overview
Problem
Existing EMV transaction systems are limited by lower bandwidth connections and legacy protocols, making it difficult to process and route rich transaction data efficiently, especially when upgrading from first-generation to second-generation protocols, as not all components of the transaction infrastructure can be upgraded simultaneously.
Innovation Solution
A method and apparatus that split transaction data into basic and enhanced data, where basic data follows the first-generation protocol for processing by the transaction support system and enhanced data follows the second-generation protocol, allowing reconciliation and authorisation using a separate route, enabling the issuer to make informed decisions without requiring all components to support the new protocol.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Reliability
If transaction data is enriched with second-generation protocol data, then fraud detection and security are enhanced, but the transaction support system cannot process the data if it has not been upgraded to handle second-generation protocols
Solution Approach 1:
The transaction data is segmented into two separate routes: a first route for basic transaction data that follows the first-generation protocol and can be processed by legacy transaction support systems, and a second route for enhanced transaction data that follows the second-generation protocol and provides rich data for fraud detection and security. This segmentation allows the system to simultaneously support both upgraded and legacy components.
Solution Approach 2:
The system introduces an intermediary mechanism that reconciles data from both routes. The enhanced transaction data from the second route is reconciled with the basic transaction data from the first route, allowing the issuer to access rich transaction information for authorisation decisions even when the transaction support system has not been upgraded.
2Loss of information
If all components are upgraded to support second-generation protocols, then rich data flow is enabled, but the cost and complexity of upgrading all infrastructure components increases significantly
Solution Approach 1:
The data transmission path is segmented into two separate routes, allowing the system to transmit both basic and enhanced transaction data without requiring all infrastructure components to be upgraded. This enables progressive adoption where certain components can be upgraded independently.
Solution Approach 2:
The system implements partial action by providing enhanced transaction data through a separate route rather than requiring complete system upgrading. This allows the issuer to receive rich transaction information for authorisation decisions without mandating that all transaction support systems be upgraded to second-generation protocols.
3Loss of information
If a separate route is provided for enhanced transaction data, then reconciliation and authorisation can proceed with rich data, but the system complexity increases
Solution Approach 1:
The system introduces a reconciliation mechanism that acts as an intermediary between the two data routes. The reconciled data combines information from both the first-generation protocol route and the second-generation protocol route, enabling the issuer to make informed authorisation decisions with complete transaction information while maintaining compatibility with existing systems.
Solution Approach 2:
The system implements feedback through the reconciliation process, where enhanced transaction data from the separate route is compared and reconciled with basic transaction data from the primary route. This feedback mechanism ensures data consistency and enables the issuer to access comprehensive transaction information for authorisation decisions.
Data Source
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AI summary
A transaction takes place between a first device and a second device. There is an authorisation system associated with the first device and a transaction support system associated with the second device. The transaction support system and the authorisation system are connected by a transaction infrastructure. A communication path is provided between the second device and the transaction support system. The second device is adapted to take the following actions. It performs a transaction with the first device and receives and generates transaction data. It splits the transaction data into basic transaction data and enhanced transaction data. It provides the basic transaction data to the transaction support system over the communication path - this enables the transaction support system to process the basic transaction data and provide a processed transaction to the authorisation system over the transaction infrastructure. It also provides the enhanced transaction data by a separate route to the authorisation system for reconciliation with the processed transaction provided by the transaction support system for use by the authorisation system in authorising the transaction.