Finland-IP-04-20071 Associate professor Georgi Todorov, PhD Vise Dean of Pedagogy Faculty Chief of...

Finland-IP-04-2007 1

Associate professor Georgi Todorov, PhD

Vise Dean of Pedagogy Faculty

Chief of Mathematics & Informatics Dpt.

E-mail:

[email protected]


“St.Cyril and St Methodius” Veliko Turnovo University


Academic Staff

The University of Veliko Turnovo employs 916 professors and assistant professors. 66% of whom are

full-time. 34 % are guest lecturers from other universities and academic institutions, including

lecturers from Albania, Austria China, Germany, Italy, Japan, Poland, Romania, Spain, The UK, the USA

and others.42% of the teachers are professors (professors and

associate professors).

In June 2004 Veliko Turnovo was certified with ISO 9001


Principal Units of VTU

• The Faculty of Philology;• The Faculty of History and Jurisprudence;• The Faculty of Business;• The Faculty of Fine Arts;• The Faculty of Education (Pedagogy);• The Faculty of Philosophy;• The Faculty of Bulgarian Orthodox Theology;• College of Pedagogy – Pleven;• College of Pedagogy – Vratsa.


M-business

. 1. THE GROWTH OF THE MOBILE COMMUNICATION INDUSTRY

2. GENERAL KNOWLEDGE ABOUT THE CELL COMMUNICATIONS

3. THE M-BUSINESS ESSENCE. TYPES OF SERVICES. EXAMPLES. ADVANTAGES AND DISADVANTAGES.

4. M-BUSINESS SYSTEM 4.1. M-business organisation4.2. End-user equipment for M-business4.3. M-data security aspects

CONCLUSIONS


The major premises for the usage of the M-business are:

• 1. The widespread use and pervasion of Internet on a global scale, as well as at a national level;

• 2. The widespread usage of the mobile communications, their accessibility, in terms of the coverage of the corresponding regions, as well as services’ prices


The mobile operators expect that because of the better

potentiality of the networks and services in 2007, the mobile

data market will go beyond 150 milliard dollars.


Mobile operator. This is a company, which provides mobile communication services. It is in

possession of communication infrastructure, techniques and technologies for mobile

communications.


Some more facts, which prove the growth of the mobile industry and the development of the

M-business:

• every quarter the number of companies developing software for mobile devices increases by 1000;

• in 2005 the number of sold multifunctional mobile devices (PDA and smart phones) exceed the number of sold personal computers;

• up to 2010 over 1 000 000 000 users will use wireless Internet;

• up to 2010 there will be more than 1 800 000 000 users of the mobile communications.


Internet Penetration

0

10

20

30

40

50

60

70

1999 2000 2001 2002 2003 2004 2005 Year

Per

cent

age

USA

Japan

West Europe

Asia/ Pacif ic

Rest of World


Internet telephony market will explode from 130000 subscribers at the end of

2003 to 17,5 million subscribers in 2008.

Internet telephony in USA

0

2

4

6

8

10

12

14

16

18

20

2003. 2004. 2005. 2006. 2007. 2008.

Year

Millio

ns su

bscrib

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Mobile users, % by years.

Mobile User Penetration

0

10

20

30

40

50

60

70

80

90

100

1999 2000 2001 2002 2003 2004 2005 Year

Per

cent

age

USA

Japan

West Europe

Asia/ Pacif ic

Rest of World


What is the situation in Bulgaria?

Internet Penetration for Bulgaria

0,00

2,00

4,00

6,00

8,00

10,00

12,00

14,00

16,00

1997 1998 1999 2000 2001 2002 2003 2004 2005

Year

Perc

enta

ge

In absolute expression the Internet users, during 2005, will be about 1 200 000, that is 16% of the country population.


Causes for M-business Adoption• The increasing mobility of today's workforce; • The convergence of telecommunications and software

industries; • The increasing need for information and transactions

anytime and anywhere; • The new breed of wireless handsets coming on the

market; • The revenue opportunities created via location-based

services and M-Commerce; • The productivity improvements to be gained via wireless

extensions to enterprise applications and processes; • The improvements in bandwidth brought about by the

migration from 2G to 2.5G and 3G networks; • The adoption of wireless standards such as Wireless

Application Protocol (WAP), Bluetooth, and others.


Bandwidth (of a transmission channel). Usually the range of frequencies passed by channel. This will often consist of

a single passband, but may instead consist of several distinct (nonoverlapping) passbands. Each passband

contributes to the bandwidth of the channel a quantity equal to the difference between its upper and lower frequency

limits. The sum of all such differences gives the total bandwidth.

Bluetooth. Technology for wireless connection between different mobile devices and computer periphery

(printers, mousse, web cameras, digital cameras and others).


Barriers to M-business Adoption

• Business barriers;

• Technology barriers.


Business BarriersOn a macro scale such as the creation of an entirely new business, the

following standard questions may apply: • Can a business make money by using this model? • What is the nature of the product or service being

offered? • Who are the customers and how will they benefit from

this product or service? • What is the point of pain that is being removed? • What is the size of the market and the differentiation

from the competition? • What is the pricing strategy and how will the service be

delivered? • What channels will be used to promote the product or

service? • What should the branding strategy be? • Are end users ready for this service?


On a smaller scale, such as a new business initiative within an

enterprise, the following questions may apply: • Will end-users accept the technology and process

change? • Will it provide enhanced customer service or improved

employee productivity? • How will this be measured? • How will end users transition from prior processes into

this new process? • What is the return on investment? • What is the learning curve for end-users? • What training is required? • What support services are required? • What service level agreements need to be in place? • How critical is this new application to the business?


Rank Feature Percentage

1 Security 77%

2 Lack of Reliable Standards 69%

3Lack of Web or Enterprise Integration Products

61%

4 Inadequate Bandwidth 54%

5 High Costs of Technology 49%

6 Quality of Technology 44%

Technology Barriers


General knowledge about the cell communications

.

1. Organization of the cell communications.

2. Generations, standards and technologies.


Organization of the cell communications .

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Organization of the cell communications


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ISDN – Integrated Services Digital Network for high-speed digital communication and transferring data, voice and video through telephone lines.


Generations, standards and technologies.


Network generation for mobile communications

• .

1GFirst Generation

Analog systems designed for voice transfer.

Includes AMPS, NMT, TACS.

2GSecond Generation

Digital systems designed for voice/data/fax transfer and other value-added services such as simple Web or e-mail access.

Includes GSM, TDMA,CDMA and PDC.

2.5GIntermediate step between second and third generation – 64-144 Kb/sec

Digital systems designed for voice/data/fax plus Web browsing and e-mail messaging.

3GThird Generation 144Kb/sec – 2 Mb/sec

High-bandwidth digital systems designed for multimedia and in process of being standardized under 3GPP.

Includes WCDMA-DS, MC-CDMA, ULTRA TDD.

Multimedia applications. Application software for processing and using different kinds of media – text, images, sound, video.


Technologies

• GSM; • General Packet Radio System (GPRS);• Universal Mobile Telecommunications System

(UMTS);• Wi-Fi ;• Combined technology (Wi-Fi and cellular).


GSM - Group Special Mobile

This technology was establishing in years1982-84-90. It was completed andpresented to the public in 1991. Yearslater they introduced also the 1800 and 1900MHz bands. This technology is now still being used indifferent kind of ways. The most popularways are phoning and sending SMS's.


Basic architecture of the GSM network

is shown on the next two slides• .

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WAP – Wireless Application Protocol

An example of a protocol that uses the GSM network is WAP. It is invented for mobile Internet.

The WAP standard defines a set of technical specifications for delivering Internet communications and advanced telephony services on digital mobile phones, pagers, personal digital assistants, and other wireless terminals.


General Packet Radio System (GPRS)

Between 1999 and 2001 GPRS was developed and tested. After 2001 GPRS was introduced to the public. It was still in development and during the year 2002 it

became ready.


USER END

BTS

WWWWWW

SGSN

BSC

GGSN

Router

CMS

BACK END NETWORK

MS

CMS – Content Management System; WWW – Web (Internet); BSC – Base Station Controller; BTS – Base Transceiver Station; GGSN – Gateway GPRS Support Node; SGSN – Serving GPRS Support Node; MS – Mobile station.

General Packet Radio System


• This technology was launched for the first time in the United Kingdom in 2003, and was called THREE. In 2004, after a year of more research and development, the UMTS was launched all over the world. It is called the third generation phones (3G).

• UMTS is a different technology and has his own network unlike GPRS. Still we can say that UMTS is a mixture of its predecessors.

Universal Mobile Telecommunications

System (UMTS)


Universal Mobile Telecommunications System (UMTS)

• .

USER END

UMTS NODE

WWWWWW

SGSN

RNC

GGSNRouter

CMS

BACK END NETWORK

MS

CMS – Content Management System; WWW - Web (Internet); RNC – Radio Network Controller; 3G IWU – Third Generation Inter Working Unit; GGSN – Gateway GPRS Support Node; SGSN – Serving GPRS Support Node; MS – Mobile station.

3G IWU


Wi-Fi. Wi-Fi stands for "Wireless Fidelity"

• The Wi-Fi technology allows completing mobile communications using radio waves.

• Wi-Fi works with telephony by providing a wireless channel to the Internet. Wi-Fi converts voice and other data into radio signals that can be transmitted wirelessly. Internet-connected receivers then convert the radio signals into conventional data traffic that can be transmitted via the Internet or another network.


The sales of business-class Wi-Fi-based Internet phones increase about 120 percent

from 2003 to 2004.

There is a prediction that the Wi-Fi Internet telephony market will grow from $16.5

millions in 2002 to $500 millions by 2007.


Wi-Max


The M-business main point

The integration of the Internet technologies, the mobile communications and “online” business brought into the world a new child – the mobile business.


In Finland for example, the mobile trade is a part of the people daily round. For the Finn is a quite ordinary job to

pay for the wash of his car, to buy beer from the automat or compact-disk, just pushing a few buttons of his mobile

phone.

In Norway the subscribers can see where the desired film is shown and can pay a ticket for it only using their phones.

The Scandinavians that are familiar with the bitter cold weather can pay by their mobile phone not only their bus tickets but with its help they can understand when the bus is expected to arrive at the station. When the temperature

is under minus 20 degrees such service is more than useful.


Definitions:1. The M-business nature, in the most common way, can be defined as doing different business activities, using modern tools and methods of the information and communication technologies, especially mobile communication technologies and Internet.

2. Or M-business is the possibility to live and to work, having as a helper only mobile phone. Using WAP technology you can do shopping, arrange and conduct your business and leisure.

3. M-business includes the ability to perform business activities everywhere at every time without permanent physic connection to cable networks.


The place of M-business in the context of

conventional and E-business .

Conventional business & commerce

E-business & commerce

M-business

M-commerce


The most significance differences between E-business и M-business

.

E-business

E-commerce

M-business

M-commerce

Wired World

Internet

Partners Employees

Costumers

Wireless World

Internet

Partners Employees

Costumers

Buy and sell products and services over the Web

Technologies & Standatds


Evolution of E-business

.

To:From:

EvolutionPC-centric models(tethered)

Person-centric models(mobile)


The mobile business possesses three specific characteristics: MNM – Mobility, Networking,

and Monopoly.

.


The mobility gives birth to unique benefits, connected with such aspects as:

- Freedom of movement – you can use the services when you are on the road;

- Ubiquity – it is not important where you are;

- Accessibility – it can be confined to a given circle of people and/or given questions;

- Localization – usage or accomplishment of services dependent on their concrete location.

- Convenience – the mobile devices are always near at hand.


Networking is based on the fact that the networks are composed of components that are connected

between each other and in practice each accomplished transaction between two of them

has side effect over the other.

The benefit of the share in a given network depends on the size and usually is double: direct,

because the number of the potentially realizable connections increases, and indirect because with the increasing of the clients, the services become

cheaper and highly varied.


Monopoly is connected with the availability of important credits that in practice are under the exceptional control of a given firm. The reasons for that are different: the absolute rarity of a given commodity or service, existence of a production secret, necessity of very high starting vested interests.


Basic services


Horizontal applications:

- Sales Force Automation (SFA);

- Client Relation Management (CRM);

- Management of the accountancy and planning of the resources;

- Accounting, logistics, accepting of orders;

- Managing of warehouses;

- Remote supply processing;

- Inventory;

- Access to the market and control of the trade activity, etc.


Vertical applications:

Financial services in the pharmacy and medicine, the insurance business, the transport, journey and hotel services, telecommunications, government and military systems, manufacture and education(M-learning or U-learning);

Real estate commerce; wood industry;

Entrepreneurship and constructional supervision, forestry and wood economy.


According the areas of applying public M-services can be classified in following way:

•M-entertainment - logos, ring tones, mobile games;•M-info - yellow pages, stock exchange, accounting information;•M-access to company info resources•M-office - mobile e-mail, reminders, group messaging;•M-sales force solutions;•M-payments - payments for parking, vending, tickets; •M-banking - all major banks offer SMS or WAP banking services;•M-logistics and fleet management solutions•M-self-services - info channel subscription, service configuration, etc.•M-security - mobile car tracking, house security, etc.


One of the perspective domains for M-business applying is Vehicular Mobile Commerce


The main types of services in this field are following:

• Entertainment content: beyond reading e-mail and surfing the Web. For example, passengers could access on-demand news, movies, sporting events, and other type of digital entertainment on built-in TV screens. In addition, vehicles could form ad hoc networks to let occupants communicate with one another or play games;

• Mobile business services would let drivers download company data, purchase products, participate in mobile auctions, and conduct other transactions, helping to reduce the economic losses and frustration associated with long commutes and roadway congestion;

• Location-based services could provide occupants with customized content upon request, such as up-to-date traffic reports and seating availability at nearby restaurants. Each geographical region could have its own database that maintains location information of all fixed entities, and the system could perform location tracking of mobile and portable entities on demand.


•Traffic data - information about driving habits, roadway congestion, and pollution levels. Engineers could use this information to better manage highways and to design more intelligent transportation systems;

Vehicular diagnostics. Higher-end vehicles with sophisticated computing and communications abilities could act as diagnostic tools by wirelessly exchanging information with both moving and stationary vehicles. This could facilitate preventive maintenance and minimize roadway break downs. Vehicles could also transmit safety messages to one another, such as a warning about an accident or highway debris. (or a warning about a policeman on the road?!)


Some examples of realized systems for M-

business • Japanese company NTT DoCoMo has implemented a

new M-commerce technology that could turn a cell phone into a virtual wallet that lets users pay for goods and services with a wave of an enabled handset;

• One of the first companies, which decided to apply full M-business infrastructure, was France Telecom. In 2000 the company offers new experimental service, which was called “the first e-commercial service for mobile phones” ;

• Nokia, Motorola, and Ericsson (more than 50% of the mobile phones market is under their control) negotiate for establishing transcorporation consortium for M-commerce. Its goal is to develop uniform standard:


Some examples of realized systems for M-business

• Digital PocketNet Service offered by AT&T Wireless


Software application “Mobile retailer” (Bulgaria, Data + company)

• Home delivery commerce;

• Collecting orders for delivering in cargo;

• Remote supply processing;

• Making an inventory;

• Selling in shops.


The following services, in respect to the different groups of costumers, are

offered.

At the place of client:• Sales processing;• Producing goods invoices, delivery notes, fiscal

bones;• Servicing clients’ goods credits;• Collecting orders for a next delivery;• Producing necessary documents for clients

(consignation documents, invoices for selling, credit orders, expenditure orders, remembering notes, etc.).


For the trading agent:

•Access to prices and availability of the offered goods;•Supporting a catalog of partners;•Automatic order generation to the central store for a next loading;•Information about availability of goods, presence in cash desk, clients obligations;•Producing credit and expenditure orders, documents for selling, supplying and transferring.


For the owner:

• Supervising the personnel, which is involved in home delivery commerce (revisions, reporting the old obligations, observing the price company rules, observing the agents’ routes);

• Decreasing the necessity of:– Extra personnel of proceeding of documents that are

produced from the trade agents;– Extra PC places for proceeding these documents.

• Make easy:– Registration of the goods in the stores by remote

processing of the received goods;– Revisions accomplishment through mobile devices.


For the office:

• Uniting data from mobile devices with data from desktop PCs;

• Offering different kinds of market information, and information about the efficiency of the trade agents (turnover for certain period of time or turnover in respect to the clients).


Advantages of M-business

• Anywhere and at any time access;

• Absence of many restrictions of E-commerce;

• Location;

• Personalisation;

• Flexibility.


Disadvantages of M-business

• Network carrying capacity and the kind of mobile devices themselves. The situation will be visibly improved after the implementation of the GPRS (General Packed Radio Service) and UMTS (Universal Mobile Telecommunication System) technologies;

• The size of the screen;• The full screen color display is more than necessary;• Battery supply. The battery life is not long. It needs

periodical charging and this is dependent on availability of current net for turning on battery adapter


Difficulties of M-Business • Motivation of the authority. It must see the necessity and advantages of these

investments, without waiting for immediately results and outcomes;• Organisation resistance. The internal resistance of the employees of the company

may destroy even the best designed project. A good policy is the people to be convinced;

• Training employees and workers. The company team has to be trained. As the result they will gain the skills to deal with the new equipment before its widely using exploitation;

• Mistrustfulness and doubt about the new equipment and technique from the side of the costumers;

• Badly knowing external users of M-business services. In this point we have to find the correct answers of the following questions.- What are the costumer’s needs?- What are the costumer’s motivations, and interests?- What kind of solutions we have to offer to the costumers?- Haw the costumers can be involved in the process of creating new M-products or M-services?- Haw to arrange matter so that the external costumers to consider the M-business services provider not only as their partner but also as their fair consultant? - What kind of behavior should have the costumers when applying one or another M-business approach? And so on.


Organisation of M-business.

.

The main players in M-business

Wireless carriers

Portals and content aggregators, application providers

Financial service institutions

Merchants

Enterprises

Government:- regulation;- standardisation.

Device makers


How M-business is working? (Simple case)

.

S T A R T

Internet access trough mobile phone

Ordering goods by mobile phone

The seller sends message about price. It is displayed on the mobile phone screen

User put his smart card in the phone

Authentication (loading password)

Ending transaction

Receiving goods

E N D


Communication scheme for M-business and M-commerce

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Mobile devices

Basic station

WAP

Internet


More general and complete diagram of network and technical

support of М-business using Application Server Provider (ASP) .

Internet

Application Server Provider GSM

GPRS

UMTS

Notebook

E-mail Telephone

Wi-Fi

Cargo

Tracked unitsRadionetworksBrowsers Alerts

Vehicles

International

transport

Ships

Location enabled cell phones

People


M-business itself may be organized on the base ofthree most popular models

1. Arranging activities in the borders of the company. Employees’ relation management in the company is realized. This is so called B2E (Business to Employee) model.

2. Client relation and work management. This is B2C (Business to Costumers) model.

3. Relations and activity management between companies. This is B2B (Business to Business or Partners and Suppliers) model.


.

Тук да се дадат евентуално таблиците


End-user equipment for M-business.

1. Technical devices

2. Software for mobile devices


NoteBook computers


Personal Digital Assistant (PDA)


Smart Phones


M-terminals


Mobile printers

Size of tobacco box


Software for mobile devices

1. Program languages:

C, C++, Java.

2.Operating system:

Windows Mobile 2003 Second Edition.

3. Applications:

Pocket Word, Pocket Excel, Pocket Internet Explorer, Windows Media Player 9, Flash Lite, Terminal Services Client.


The comparison between typical parameters of the

basic mobile devices used for M-business Parameters

NoteBook Tablet PC PDA Cellular phone

Smart Phone

Price 2000 € 1500€ 750 € 300 € 700 €

Weight 3kg 1,5kg 0,150kg 0,100kg 0,200 kg

Screen resolution

Over 1024x768 pixels

Over 1024x768 pixels

240x320 pixels

120x160 pixels

200x300 pixels

Memory 256MB 256MB 64MB 300 memories

8MB

Power capacity of battery

3h 4h 8h 10h 10h

Communication technology

IrDA, Wi-Fi, Bluetooth

IrDA, Wi-Fi, Bluetooth

IrDA,Wi-Fi,Bluetooth

WAP, GPRS, Bluetooth

GPRS, IrDA, Bluetooth


M-data security aspects


M-security approaches

- hardware security;

- the software protection.


Hardware security

Biometrical protection. These techniques become more and more popular. They usually

use some kind of finger print sensor.

Data locking. One of the most popular hardware techniques is so called Kensington

Lock. Almost all contemporary laptops are equipped with this lock.

Antishock protection. It is a standard option in most of the new mobile devices, equipped

with hard or compact disks.


The software protection

Digital signatures. Digital signature is unique file, which is crypted. It is used to prove personal identity of certain gamer in the field of M-

business.

Firewalls. Firewalls are wide spread in the Internet technologies. They can be also applied in the M-business for ensuring data protection

in wireless communications. Public Key Infrastructure (PKI). In a PKI environment, each user has a public/ private key pair. The public key is announce publicly, much in the same way as a phone

number is published in a phone book, and the private key is kept on the mobile device and is only known by the owner. The private key is used to sign transactions, and anyone can

access a sender's public key to verify the sender's private key. This is very important when a server needs to know exactly whom they are ”talking” to.


Five pillars of security 1. Authentication: a customer authenticates the

bank by identifying the building and signage and the bank authenticates the customer by asking for identification or a pass code.

2. Privacy: customer stands at the cashier's counter away from other customers.

3. Authorisation: customer card or profile indicates what transactions the customer can demand how he can do them.

4. Integrity: business is transacted in cash and is tendered and counted by both parties.

5. Proof of contract: bankbook is updated and a receipt is signed.


Authentication – the prove something to be valid or genuine or true (in general). A process by which a subject, normally an user, establishes

his identity to a system. This may be affected by the use of a password or possession of a physical device.

Integrity – Resistance to alteration by system errors. Entireness, wholeness, completeness end fault stability.

Authorization – the permission or power given to user to access some kinds of data, information, to explore them in wireless communications

and networks.

Data cripting. Data coding in different ways that ensure information security .


.

Business Application Engine

Presentation Engine

WAP Gateway

Corporate Firewall

WWW

Mobile devices- smart phones;- PDA;- pocket PC’s;- note books;- others.


Conclusions

In respect of Consumer Market.- The applications for wireless Internet consumers varies by country, by culture, and by individual user.

- Drivers for market adoption include industry convergence, improvements in wireless technology and standards, and cultural and regulatory forces.

- Barriers to market adoption include business barriers related to business model and revenues, together with technology barriers related to security, product maturity, standards, usability, bandwidth, and cost.

- Since M-Commerce is still in its infancy, it remains to be seen who the eventual winners will be. The contenders in the battle for the consumer include the wireless carriers, financial services providers, content providers, and retailers.


In respect of Enterprise Market

-It is likely that the eventual winners will be enterprises that leverage the technology within their enterprise to create substantial returns on investment.

- Carriers moving into the wireless application service provider space will need to form relationships with software companies and systems integrators and smooth internal partnerships in order to become a hit with the enterprise. - Business executives should ensure a strong relationship with their IT departments in order to be most successful in their M-Business initiatives.

- The M-Business value chain is complex and involves more players than the traditional E-Business value chain.

- M-Business can be applied within the enterprise for employees, customers, suppliers, and business partners. Employees are one of the prime targets for M-Business applications.

- Enterprise benefits from M-Business include increased productivity, reduced cycle times, reduced costs, increased revenues, increased customer

satisfaction and loyalty, competitive advantage, and improved decision-making ability.


THANK YOU FOR ATTANTION !

You are welcome to Veliko Turnovo University!

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Finland-IP-04-20071 Associate professor Georgi Todorov, PhD Vise Dean of Pedagogy Faculty Chief of...

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