Overview Jeff Jaffe

TIM BERNERS-LEEWEB INVENTOR AND W3C DIRECTOR

• Lead Web to its Full Potential

• 385 Members (85 Full Members)

• Web ecosystem: users, developers, browsers, etc.

• 70 staff in US (MIT), China (Beihang), France (ERCIM) and Japan (Keio)

THE WORLD WIDE WEB CONSORTIUM

• Focus is to create standards that lead to commercial benefits

• W3C accepts inputs from all and provides outputs to all

• Each organization brings their expertise, perspective

• Work organized into 5 “Domains” Interaction, UbiWeb, Accessibility, Technology and Society, Information

• 65 Working Groups. Each has engineers from members with staff support

• Liaisons with many organizations such as IETF, GSMA or ISOC. Mechanism in place if new liaisons needed in the area of payments

• W3C Recommendations under Royalty-Free Patent Policy

• W3C is ISO/JTC-1 PAS Submitter

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HOW DOES W3C WORK?

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2010 2011 2012 2013

Full 62 65 79 79

Affiliate 240 220 230 216

Devel. 32 33 42 51

Startup - - 7 24

CG/BG Groups - - 82 149

CG/BG People - - >1280 >3200

Twitter followers

9K 20K 35K 62K

Participation

• Web pages are more beautiful, interactive and intelligent

• A platform for “apps”

• HTML5, CSS3 are broadly implemented

• Rich multimedia

• Numerous devices

• Tools for social networking (privacy, security, identity)

• The most interoperable platform in the industry

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A platform for innovation, consolidation, and cost efficiencies.OPEN WEB PLATFORM

A NEW WAVETRANSFORMATIONS

of

Just as the Web has transformed everything…

…It will transform everything again

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•The Web has enabled a huge volume of payments (“In 2012, B2C ecommerce sales grew 21.1% to top $1 trillion for the first time” by eMarketer)• New ways to monetize services

• Advertising is no longer sufficient• Newspapers with the freemium model (free +

subscribers)• Games with free start levels; payment for further levels

• Payments on Mobile are increasing• “Growth of Non-Cash Payments Continues Unabated

“(World Payments Report 2013)The Open Web Platform is the reference standard for cross-device implementation, can it handle payments?

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Web Payments

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Actors & Ecosystem

• A complex set of ecosystems with insufficient standardization. Consequences include:

• No instant gratification for one off purchases: Each merchant requires account setup and entry of payment information

• Poor and variable user experience across sites and across payment systems

• Explosion of the number of payment systems

• Poor security

Þ High levels of fraud

Þ High levels of transaction abandonment9

Challenges

• Freedom of choice for users in how users pay

• Consistency across all of the user's devices (same wallet)

• Reduced complexity for merchants Value added services associated with payments, e.g. loyalty schemes, trackers

• Improved security

• Improved user experience

• Greater transparency for transaction fees for both users and merchants

• Promise for simplified person to person payments, and for offline payments.

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Vision for standards

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Vision for standards

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Vision for standards

• Users• Greater choices for payments• Greater security• Greater consistency• Lower level of trust required to merchants

• Merchants• Easier to integrate new payment solutions• Fewer constraints and less risk in payment management• Lower level of trust required from users

• Payment Service Providers• Easier innovation• Easier adoption by users and merchants• Higher security

• Developers• Easier seamless integration• No need to investigate each and every payment service

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Benefits

• Building consensus on the best way to solve challenges to provide seamless experience for all

• Importance of free competition to improve user experience, new features, ease of transactions across national borders, ...

• An open, level playing field

• Addressing a huge problem step-by-step; prioritize low-hanging fruit

• Bringing representatives from all stakeholders

• Reduce barriers to growth by standardizing the “minimal” set

• Integrate with payment options (cards, NFC, secure hardware, cryptocurrencies)14

Requirements for Success

• Have open dialog

• Have technical dialog

• Get to know each other

• Seek consensus

Discussion will fuel agenda setting at W3C

CRITICAL WORKSHOP SUCCESS FACTORS