A San Francisco, California-based startup aims to provide a global payment system for digital content. IPIN sidesteps credit cards or other payment mechanisms by adding the cost of e- commerce products and services to consumer’s internet service provider accounts. Our customers choose a 4-10 digit alphanumeric PIN, explains director of marketing Geoff Watson. It only takes 15 seconds to register, there’s no software to download and no pre-payment.
The business has been under development since early 1998 and boasts $14m in investments from Accel Partners, Sutter Hill Ventures and Comdisco. IPIN is currently in beta test with ISPs and content partners in both the USA and Europe. 10,000 users are involved in the beta, which Watson claims is the largest e- content usage trial ever. Partners include AT&T WorldNet in the States, Demon, Club Internet and Belgacom in Europe and Internet Globe in Israel. IPIN has also had some interest from China.
If your service provider is not part of IPIN’s ISP network, you can enter your credit card and still enjoy the benefits of centralized payment and billing. However the company’s primary model and way to get critical mass is through the ISPs, Watson explains. There’s also the benefit of anonymity. An ISP has your identity, but not your purchase details; IPIN has your details but not your identity. It’s double-blind, Watson enthuses.
For content providers, the selling point is a simple, centralized method of arranging for one-off content sales A lot of people have either not been developing content aggressively or have been holding back their really valuable content, Watson says. Take Reuters – about 85% of their content not online right now. ISPs add e-commerce to their services and as a bonus, get their logo added to the payment dialog box. Our vision is to get all the major ISPs up and running on the system.
Users get simpler payment, and IPIN gets a cut of transactions – not to mention all that valuable purchasing information, which it can use for sales or direct marketing. Don’t subscribers object to the spam? Watson says they don’t: People who have opted into a direct mail program are extremely keen to see offers tailored to their interests, he claims. It’s our job to make sure that what we offer is compelling, interesting, valuable content. As compelling as an infomercial? ComputerWire can hardly wait. รก
