U.S. patent application number 10/692419 was filed with the patent office on 2004-04-29 for e-commerce consumables.
Invention is credited to Bertani, John A., Currans, Kevin G., Sang, Henry W. JR..
Application Number | 20040083185 10/692419 |
Document ID | / |
Family ID | 24616903 |
Filed Date | 2004-04-29 |
United States Patent
Application |
20040083185 |
Kind Code |
A1 |
Currans, Kevin G. ; et
al. |
April 29, 2004 |
E-commerce consumables
Abstract
A consumable article includes a consumable item and a memory
device. The memory device is organized to represent currency. Use
of the consumable item causes the memory device to be reorganized.
The consumable article is used in an apparatus that has a control
circuit that can update the memory device to modify the amount of
currency when the apparatus consumes the consumable item. The
apparatus optionally includes a network interface coupled to the
control circuit that interfaces to a clearinghouse for reconciling
the amount of currency and use of the consumable item.
Inventors: |
Currans, Kevin G.;
(Philomath, OR) ; Sang, Henry W. JR.; (Cupertino,
CA) ; Bertani, John A.; (Corvallis, OR) |
Correspondence
Address: |
HEWLETT-PACKARD COMPANY
Intellectual Property Administration
P. O. Box 272400
Fort Collins
CO
80527-2400
US
|
Family ID: |
24616903 |
Appl. No.: |
10/692419 |
Filed: |
October 22, 2003 |
Related U.S. Patent Documents
|
|
|
|
|
|
Application
Number |
Filing Date |
Patent Number |
|
|
10692419 |
Oct 22, 2003 |
|
|
|
09652460 |
Aug 31, 2000 |
|
|
|
Current U.S.
Class: |
705/77 |
Current CPC
Class: |
G06Q 20/10 20130101;
G07F 7/02 20130101; G06Q 20/085 20130101; G06Q 20/343 20130101 |
Class at
Publication: |
705/077 |
International
Class: |
H04K 001/00; H04L
009/00; G06F 017/60 |
Claims
What is claimed is:
1. A consumable article, comprising: a consumable item; and a
memory device organized such that the use of the consumable item
causes the memory device to be reorganized wherein the organization
of the memory device represents currency.
2. An apparatus, comprising: the consumable item of claim 1 further
comprising a control circuit capable of updating the memory device
of the consumable item; wherein when the apparatus consumes the
consumable item, the control circuit updates the memory device
wherein the representation of currency is modified.
3. The apparatus of claim 2 wherein the apparatus is a printing
device.
4. The apparatus of claim 2 wherein the apparatus is a plotting
device.
5. The apparatus of claim 2 wherein the apparatus is a
computer.
6. The apparatus of claim 2 wherein the apparatus is an MP3
player.
7. The apparatus of claim 2 further comprising: a network interface
for interfacing to a clearinghouse, the network interface coupled
to said control circuit.
8. The consumable article of claim 1 wherein the consumable article
is a media creation cartridge.
9. The consumable article of claim 8 wherein the media creation
cartridge is an ink-jet printer cartridge.
10. The consumable article of claim 8 wherein the media creation
cartridge is a laser-jet toner cartridge.
11. The consumable article of claim 8 wherein the media creation
cartridge is a plotter pen cartridge.
12. The consumable article of claim 1 wherein the media creation
cartridge is an energy delivery vehicle.
13. The consumable article of claim 12 wherein the energy delivery
vehicle is a battery.
14. The consumable article of claim 12 wherein the energy delivery
vehicle is a fuel source.
15. A method for exchanging payments, comprising the steps of:
representing an amount of a consumable item as currency; expending
a portion of the currency; and preventing the use of a portion of
the consumable item in proportion to the amount of expended portion
of currency.
16. The method of claim 15, further comprising the steps of:
contacting a clearing house to make a payment representing the
expended portion of currency; and after payment, allowing the use
of the portion of the consumable item.
17. A method of exchanging payments, comprising the steps of:
storing an amount of electronic currency in a memory device in a
consumable item; expending a portion of the consumable item wherein
the use of the consumable item incurs a debit charge; and reducing
the amount of electronic currency in the memory device of the
consumable item.
18. The method of claim 17, further comprising the step of: before
allowing the step of expending a portion of the consumable item,
verifying that the amount of debit charge is not greater than the
amount of electronic currency in the memory device.
19. The method of claim 18, further comprising the step of: if the
amount of debit charge is verified as greater than the amount of
electronic currency in the memory device, preventing the expending
of a portion of the consumable item.
20. A method of exchanging payments, comprising the steps of:
purchasing a consumable item; creating a digital cash account for
the consumable item; expending a portion of the consumable item
wherein the use of the consumable item incurs a debit charge;
reducing the amount of the digital cash account by the amount of
the debit charge incurred.
21. The method of claim 20, further comprising the steps of:
acquiring royalty based content that indicates an owner of the
content and the amount of debit charge for using the content;
updating a digital cash account for the owner of the content by the
amount reduced from the digital cash account for the consumable
item.
22. An apparatus including a consumable item using the method of
claim 15 to exchange payments.
23. An apparatus including a consumable item using the method of
claim 17 to exchange payments.
24. An apparatus including a consumable item using the method of
claim 20 to exchange payments.
Description
FIELD OF THE INVENTION
[0001] The invention relates to electronic commerce, more
particularly the invention relates to using consumable articles as
barter or collateral security for use of privileged content
transactions.
BACKGROUND OF THE INVENTION
[0002] Electronic devices such as personal computers and personal
data assistants (PDAs) are becoming more powerful and able to
perform multimedia functions. These functions allow for the
presentation of several multimedia content sources such as music,
pictures, video, and other created works. In addition to more
powerful computers, the Internet is becoming more pervasive and
most computers and other electronic devices are able to
interconnect. This interconnection occurs over phoneline, cable,
satellite and other wired and wireless services. The ability to
retrieve multimedia content via the Internet and to view, copy,
print, play, or archive this content has created a tension between
the owners of the content and users of multimedia equipped
electronic devices. Because devices such as personal computers can
be disconnected from the Internet and the multimedia content used
remotely, the owners of the content cannot adequately monitor the
use of their content and receive proper royalty or other pecuniary
payments for its use. Further, some hardware manufacturers have
designed low-cost electronic devices that allow for downloading
multimedia content from the Internet and allowing the user to
continually use the content remotely such as with "MP3" music
playing devices. These low cost devices are rapidly being accepted
and the potential for abuse of content owner's proprietary rights
is growing.
[0003] On difficulty in implementing a method of debiting for the
use of proprietary content is that pecuniary payments tend to be
very small on a per use basis and the transaction costs of
processing credit cards or other credit information is often more
expensive than the debit charge for the use of the content.
Therefore, there is a need for a method to provide payment exchange
efficiently and accurately when dealing with small financial
transactions or micropayments such as per-use royalty based
charges.
SUMMARY
[0004] A consumable article includes a consumable item and a memory
device. The memory device is organized to represent currency. Use
of the consumable item causes the memory device to be reorganized.
The consumable article is used in an apparatus that has a control
circuit that can update the memory device to modify the amount of
currency when the apparatus consumes the consumable item. The
apparatus optionally includes a network interface coupled to the
control circuit that interfaces to a clearinghouse for reconciling
the amount of currency and use of the consumable item.
BRIEF DESCRIPTION OF THE DRAWINGS
[0005] FIG. 1 is an exemplary diagram a computer system that uses
at least one aspect of the invention.
[0006] FIG. 2 is an exemplary block diagram of a consumable article
that incorporates aspects of the invention.
[0007] FIG. 3 is an exemplary alternative block diagram of a
consumable article that incorporates aspects of the invention.
[0008] FIG. 4 is an exemplary physical embodiment of the consumable
article of FIG. 2 shown as an ink-jet cartridge.
[0009] FIG. 5 is an exemplary apparatus, a printer that uses the
consumable article of FIG. 4.
[0010] FIG. 6 is a physical embodiment of the consumable article of
FIG. 3 shown as a battery.
[0011] FIG. 7 is an exemplary apparatus, a personal data assistant
(PDA) that uses the consumable article of FIG. 6.
[0012] FIG. 8 is a flowchart of an exemplary method of using a
consumable article.
[0013] FIG. 9 is a flowchart of a first alternative exemplary
method of using a consumable article.
[0014] FIG. 10 is a flowchart of a second alternative exemplary
method of using a consumable article.
DETAILED DESCRIPTION OF THE PREFERRED AND ALTERNATE EMBODIMENTS
[0015] One aspect of the invention is to allow a consumable item,
such as ink or toner for example, to be used as collateral security
for a royalty or other pecuniary charge or debit incurred when
using other's copyrighted or privileged multimedia content or
material.
[0016] Another aspect of the invention is to allow users of
consumable items to pre-pay for the right to reproduce copyrighted
or privilege material when purchasing the consumable items.
[0017] A further aspect is to allow a user that has used their
consumable item as collateral security to reconcile and redeem the
debt to release the encumbrance on the consumable item.
[0018] A further aspect of the invention is to allow a user to
transfer unused credit from an expended consumable item to another
replacement consumable item.
[0019] The invention allows owners of copyrighted or other
privileged material to collect payment for use of that material by
users of electronic devices. The invention allows for remote use of
the privileged material by allowing a consumable item or a portion
of it to be used as collateral security or "mortgaged" until a
debit charge is reconciled. Optionally, use of the consumable item
can be just be bartered, that is prevented from further being used,
in order to allow payment for the use of the privileged material.
Another option is to allow a consumable article, such as a printer
toner cartridge, or ink-jet cartridge to contain a smart card
circuit that can include digital cash that allows for prepayment
and debiting during use.
[0020] Owners of copyrighted or other privileged content would
digitally sign their content. That is, a digital representation of
the owner and the amount of charge for use are digitally encoded
with the privileged content. Several different methods of digital
signing exist and are known to those skilled in the art, such as
digital watermarking and some forms of digital compression
encoding. When the privileged content is used, the electronic
device detects the digital ownership and requests from the user of
the electronic device if they wish to be debited for use of the
privileged content. Optionally, the charge can be automatically
debited for use. In addition, multiple transactions can be recorded
before having to reconcile payment. This allows several
"mircopayments" to occur before needing to make larger total
payment. The step of adding a digital signature to the content is
preferably performed by having the content owner join a group of
content owners in a clearinghouse that distributes signing software
and digital encryption or signing keys that are embedded into the
digital content, preferably invisibly. The clearinghouse also
preferably distributes the privileged content, but optionally any
distribution source can be used. When the privileged content is
acquired by a consumer and used on an electronic device that is
connected to the consumable article, the consumer can either use a
portion of the consumable article as a collateral security for
later payment or barter a portion of the consumable article for
payment. When the electronic device is later connected to a
network, such as the Internet, contact with the clearinghouse is
made and payment reconciliation occurs. The reconciliation includes
transmittal of any content owners' digital signature, the number of
uses of any privileged material and how all debits incurred are to
be paid. If the consumable article were used as security, the
reconciliation includes a payment method such as a credit card or
account number to be debited. When payment is confirmed, the
collateral security on the consumable article is released and that
portion of the consumable article can be used again. If the
consumable article was used as a barter instrument, then the
reconciliation includes transmitting the account for the consumable
article media account (presumptively the manufacturer of the
consumable article, but optionally other third party sources) from
which to transfer payment from to the content owners' accounts. If
the consumable article includes a smart card circuit, then the
reconciliation just transfers the digital cash that has been
debited from the smart card circuit to the content owner's account.
Optionally, the consumable article owner can purchase more digital
cash to be stored on the smart card circuit for later use. If the
consumable article has expended its consumable item, any remaining
digital cash remaining in the smart card circuit can be transferred
to the content users account to transfer to a new replacement
consumable article.
[0021] For example, assume a user wishes to print multiple
photographs on an ink-jet printer that require small and
uneconomical financial transactions for use of the privileged
content. The user purchases a consumable ink-jet pen for their
printer. The ink-jet pen includes an on-board electronic device
that is controlled via a printer driver or other software. The user
then wishes to print a photograph remotely without a direct
connection the photograph owner's website or associated
clearinghouse. When the print command is issued the printer driver
or other software detects that the photograph is privileged
content. The cost for printing is preferably included in the
digital signature. The user is informed of the cost required to
print the photograph. If the charge is approved, the print request
continues. The printer driver or other software checks to see that
the cost required remains in the digital cash in electronic
circuit, which is a memory device or smart card, circuit. The
amount of digital cash may either be a pre-paid amount or it may be
based on the value of the remaining consumable ink within the print
cartridge. That is if a $30 print cartridge has $10 of ink
remaining, $10 dollars is available in the electronic circuit to be
used as digital cash. If sufficient digital currency remains in the
print cartridge, then printing continues. As each photograph is
printed, the amount of digital currency is updated electronically
in the print cartridge to reflect the charge incurred and the
amount of ink used in printing. In the case of just a prepaid
amount of digital currency, the charge incurred is simply deducted
from the electronic circuit in the ink cartridge. When the digital
currency account is depleted, then it is not possible to print
privileged content using this ink cartridge. However, when the user
contacts the owner's website or an appropriate owner's group
clearinghouse, copies of the financial transactions are transmitted
and indicate which owners should receive corresponding payments. In
the case where the ink cartridge's ink has been used as collateral,
once payment by credit card or other means is verified, the ink
cartridge can recover use of the remaining ink.
[0022] FIG. 1 is an exemplary block diagram of a computer system,
which includes at least one aspect of the invention. An electronic
device, shown as computer 10, is coupled to a printer 12 either
with a direct connection 14 or via a network, such as an intranet
or the Internet. Computer 10 optionally includes a media device 18,
such as a CD-ROM or DVD drive, which accepts media 20, such as a
CD-ROM or DVD disc containing privileged content. Optionally, the
privileged content can be downloaded or pulled into the computer 10
via network 16 from preferably either a content owner 24 or a
clearinghouse 26 of content owners. Optionally, the privilege
content can be acquired from any Internet or intranet website that
supports keeping the content owner's digital signature with the
privileged content. Thus the content owner 24 can optionally
maintain their own website or preferably work with a content owner
group clearinghouse 26 to minimize the number of websites that need
to be visited for reconciliation of payments. Printer 12 accepts a
consumable article 30, shown here as a media creation cartridge
such as laser-jet toner cartridge for example, but optionally it
can be any media creation cartridge such as an ink-jet printer
cartridge, printer ribbon, plotter pen cartridge or other
consumable article such as a battery, and other energy delivery
vehicle or fuel sources. Other content creation sources such as a
plotter could also be used in place of printer 12. Consumable
article 30 includes a consumable item and a memory device that is
organized to represent currency in a digital format. The amount of
currency stored in the memory is proportionally related to the
amount of the consumable item. When the consumable item is used or
expended, the contents of the memory device are reorganized to
reflect the amount of the consumable item remaining.
[0023] FIG. 2 is a block diagram of an exemplary embodiment of
consumable article 30. The consumable article 30 includes a
consumable item 32 that can be measured with a meter 34. The use of
the consumable item 32 can be controlled with a valve 42 or other
equivalent mechanism. A control circuit 38 that is further
connected to memory 36 and meter 34 operates valve 42. Control
circuit 38 is able to measure the amount of consumable item 32 and
accordingly represent the amount in an organized fashion in memory
36. Often times the consumable item represents a fair amount of
money, at least in replacement cost. The amount of consumable item
32 that is stored in memory 36 can be used as "collateral
security", i.e. mortgaged, or "bartered" for digital cash which is
used to pay the owner of privileged content used by the user of the
consumable item. Control circuit 38 has at least one interface 40
used to control dispensing the consumable item 32. A separate
communication channel 44 is provided to let the control circuit 38
communicate currency transactions that are recorded in memory 36.
Optionally, communication channel 44 and interface 40 may be
combined into a single interface. Due to security concerns, it is
preferable to have a separate communication channel 44 that
provides a non-public, secure, and preferably encrypted
interface.
[0024] FIG. 3 is a block diagram of an exemplary alternative
embodiment of a consumable article 50. In this embodiment, a smart
card circuit 46 is connected to control circuit 38 and can be
accessed either via interface 40 using control circuit 38 or
separately through communication channel 44. The control circuit 38
controls the dispensing of consumable item 32 such as with a valve
42.
[0025] FIG. 4 is an exemplary embodiment of the consumable article
30 of FIG. 2, represented here as an ink-jet cartridge. Consumable
item 32, an ink or other fluid, is stored in a container 28. The
amount of consumable item 32 is measured with a meter 34, shown as
a light emitting diode and a sensor. The consumable item 3 is
dispensed via valves 42, shown as nozzles or orifices. The control
circuit 38 is integrated with valves 42 on a single monolithic
integrated circuit die. Interface 40 is shown as an array of
contacts on a flex circuit 48 that connects interface 40 to control
circuit 38 and memory 36 that is optionally separate or preferably
integrated into the integrated circuit containing control circuit
38. Alternatively, memory 36 may be replaced with a smart card
circuit 46 (see FIG. 3).
[0026] FIG. 5 is an exemplary illustration of a printing apparatus
60 that uses the consumable article 30 of FIG. 4 to print
privileged content from a personal computer or other electronic
device. The printing apparatus 60 has a carriage 54 that holds
consumable article 30 and contacts with interface 40 of the
consumable article 30. The carriage sweeps back and forth in one
direction across paper 56. The paper 56 is transported or fed in an
opposing direction to the carriage 54 movement by paper feed 58.
When printing, the consumable item, in this example ink, is place
on the paper 56 using valve 42, the nozzles on consumable article
30. The paper 56 when printed is placed by paper feed 58 on an
output tray 52.
[0027] When privileged content is printed, a portion of the
consumable item, i.e. ink, can be "bartered" or "collaterally
secured" to ensure future payment. Before the ink can be used as
security or payment, the control circuit within the consumable
article measures the amount of ink remaining to ensure that
sufficient value exists to secure the payment. If not, printing of
the privileged content is not allowed.
[0028] In addition to printing privileged content, if the printer
is connected to a personal computer or other electronic device that
can play or use privileged content such as audio (MP3 files),
pictures (JPEG, TIFF, etc. files) or video (MPEG files), the
consumable item can still be "bartered" or "collaterally secured".
If the user barters or secures the entire consumable item, such as
ink, within the consumable article 30, the user will be unable to
print even non-privileged material. This action will encourage the
user to reconcile with the content owner's website or a
clearinghouse in order to recover use of the consumable item.
[0029] FIG. 6 is an exemplary alternative physical embodiment of a
consumable article, a customized battery 70. In this embodiment,
the consumable item is the energy stored within the battery 62. A
special sleeve 48 is placed around the battery 62 to provide
storage for preferably a smart card circuit 46 accessed using
communication channel 44. The output from the battery 62 is
provided by battery contacts 64A and 64B. Battery 62 can be of any
conventional chemistry such as alkaline, nickel-metal hydride,
nickel cadmium, carbon-zinc, or lithium ion. For this embodiment,
preferably the battery is designed not to be rechargeable. For a
lithium ion battery, the cell voltage is approximately 3.1 volts.
Thus, to provide a typical 1.5V output, some lithium ion cells have
a voltage converter circuit to translate from the 3.1V cell voltage
to the desired 1.5V output. Such a battery can be modified to
include control circuit 38, meter 34, and memory 36 of FIG. 2 such
that the energy of the battery can be used for "bartering" or
"collateral security." By providing a separate sleeve 48 about the
battery 62, the battery 62 can only be used in special electronic
devices that can use the interface channel 44 to communicate to the
smart cart circuit 46.
[0030] FIG. 7 is an illustration of an exemplary electronic device,
a personal data assistant (PDA) 80, that accepts the customized
battery 70 of FIG. 6. PDA 80 is a multifunction multimedia device
such as a PocketPC made by Hewlett-Packard with a Microsoft
operating system. For example, it can reproduce music, such as an
MP3 song using headphones 76 or alternatively speakers 78. In
addition, screen 74 can be used to display still photos such as
JPEG files or TIFF images and other formats known to those skilled
in the art. Screen 74 along with the audio devices, headphones 76
or speakers 78, can be used to view video clips or MPEG movies.
[0031] Customized battery 70 is inserted into battery cavities 66
and contacts 68 are used to interface with communication channel 44
of customized battery 70. The batteries are held in place by
battery door 72. Optionally, if no privileged content is
anticipated to be used, standard batteries may be inserted into
battery cavities 66 and the PDA 80 operated normally. However, with
the customized battery 70, when privileged content is played,
royalty or other pecuniary charges for use are subtracted from the
smart card circuit 46. Optionally, if customized battery 70 has a
control circuit 38 that can measure the amount of energy within the
battery and is capable of restricting the battery output, the user
can "barter" or "collaterally secure" the battery's energy for
credit to use the privilege content. If a "barter" or "collaterally
secure" transaction occurs, the control circuit artificially
reduces the battery's operating life. If the battery does not have
enough energy remaining to barter/collaterally secure, the user of
the PDA 80 will be unable to use the privileged content. The user
of the PDA 80 can recover the energy in the battery by connecting
the PDA 80 to the content owner's website or a content owner's
group clearinghouse and reconciling by making a payment for use of
the privileged content. When payment is verified, the control
circuit will allow the energy that was bartered/collaterally
secured to be used.
[0032] FIG. 8 is an exemplary flowchart for a method of using a
consumable article to exchange payments. In step 100, the amount of
the consumable item within the consumable article is represented as
an amount of currency, preferably in the memory within the
consumable article. In step 102, by using royalty or privileged
content a portion of the currency is expended. In step 104, a
portion of the consumable item, in proportion to the amount of the
expended portion of currency, is prevented from being used. In step
106, reconciliation occurs by contacting a clearinghouse to make a
payment for the expended portion of the currency. When the payment
is made in step 108 the in step 110, the use of the portion of the
consumable item that was prevented from being used is now allowed
to be used.
[0033] FIG. 9 is an exemplary flowchart for a first alternative
method of using the consumable article to exchange payments. In
step 130, an amount of currency is stored in the memory device,
preferably a smart card circuit, of a consumable item such as a
media creation cartridge. When privileged content is desired to be
used, such as by printing a copy of it, a debit charge will be
incurred. In step 132, the amount of the debit charge is compared
to the amount of electronic currency stored in the memory device.
If the debit charge is greater than the amount of currency then in
step 134 the consumable item is prevented from being expended. If
the debit charge is less than or equal to the amount of currency
stored in the memory, then in step 136 a portion of the consumable
item is expended and accordingly the use of the consumable item in
copying the privileged content incurs the debit charge. In step
138, the amount of electronic currency in the memory device is
reduced by at least the amount of the debit charge.
[0034] FIG. 10 is an exemplary flowchart of a second alternative
method of using the consumable article to exchange payments. In
this embodiment, a person purchases a consumable item in step 150.
The person then in step 152 acquires royalty based or other
privileged content. The content has an owner and an amount to be
debit charged for use of the content. Preferably, the owner's
electronic account and the amount of use debit charge are included
within a digital signature within the content. Preferably, the
owner has set up the electronic account with a clearinghouse or has
his/her own clearinghouse for reconciliation. In step 154, a cash
account is created for the consumable item. This account can be
setup when the item is purchased or pre setup by the manufacturer
of the consumable item or by optionally a third party. A portion of
the purchase price for the consumable item is transferred to the
cash account for the consumable item or the manufacturer. In step
156, the person expends a portion of the consumable item to create
privilege content such that in so doing the use of the consumable
item incurs a debit charge for use of the privilege content. In
step 158, when connected to the Internet or other network, the cash
account for the consumable item or manufacturer is reduced by the
amount of the debit charge. Reconciliation occurs when the cash
account for the owner of the content is updated to reflect the
amount reduced from the cash account for the consumable item or
manufacturer.
* * * * *