Tech Alert - New Payment Technology
A while ago I gave a presentation in Tartu where I argued that the first step towards getting innovative is to develop a sensitivity to kluge. Kluge is an inelegant solution. Something that we accept as normal, but could be done better. Like paying for long distance phone calls. Like having to go physically to a bank to withdraw money from a checking account. Actually, I like Jeff Bezons’ example the best. Houses were wired for electricity years before wall outlets were invented. So people connected their electrical devices by screwing the plug into a light socket. Great for that new electric clothes washing machine that had to be used on the porch. Kluge!!!
So I am always on the lookout for people who are attacking kluge with new ideas. Here is a potential kluge killer that I found in a post at Bits. Small businesses pay large fees to accept credit cards. And they have to pay for devices to swipe cards. According to the Bits post, a new start up called Square will offer them a cheaper and easier alternative — by allowing them to accept payments via a mobile phone attachment. Cool.
FOLLOW - Om Malik at Giga thinks Square is a disruptive technology.