Light Reading

Amazon Patents Digital Cash for ŕ la Carte Cloud Computing

Mitch Wagner
5/29/2014
50%
50%

Amazon won a patent for allowing customers to pay for cloud services with Bitcoin or other digital currency, opening the door for anonymous, pay-as-you-go cloud computing, according to a report.

Patent 8,719,131, filed March 21, covers a system for paying for computing resources in a multi-tenant environment. Resources could be allocated anonymously -- not be associated with a specific user account, according to CoinDesk, a digital currency news site. Users would submit the payment as part of the request for resources. (See Amazon Awarded Bitcoin-Related Cloud Computing Patent.)

    Speed is essential, for example, as a user might request access to a server for just two hours and pay for it digitally.

    The patent could be described as enabling an "à la carte" approach to cloud computing -- take what you need for as long as you need it, with no subscription or long-term obligation, no need to plan ahead.

Amazon.com Inc. (Nasdaq: AMZN), which runs the largest cloud service in the world, isn't presently interested in digital currencies; payments head Tom Taylor said in April the company has no immediate plans to "engage Bitcoin," CoinDesk says.

The only uses I can think of for this service are illegal. That's not necessarily a bad thing; illegal services include both malware (bad) and anonymous communications hidden from the prying eyes of dictatorships (good).

In other Bitcoin news, Dish Network LLC (Nasdaq: DISH) announced today it will start accepting Bitcoin payment. (See Dish Says Yes to Bitcoin.)

— Mitch Wagner, Circle me on Google+ Follow me on TwitterVisit my LinkedIn profileFollow me on Facebook, West Coast Bureau Chief, Light Reading. Got a tip about SDN or NFV? Send it to wagner@lightreading.com.


Want to learn more about SDN and the transport network? Check out the agenda for Light Reading's Big Telecom Event (BTE), which will take place on June 17 and 18 at the Sheraton Chicago Hotel and Towers. The event combines the educational power of interactive conference sessions devised and hosted by Heavy Reading's experienced industry analysts with multi-vendor interoperability and proof-of-concept networking and application showcases. For more on the event, the topics, and the stellar service provider speaker lineup, see Telecommunication Luminaries to Discuss the Hottest Industry Trends at Light Reading's Big Telecom Event in June.


(26)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View
Page 1 / 3   >   >>
DHagar
50%
50%
DHagar,
User Rank: Light Sabre
6/5/2014 | 4:39:38 PM
Re: I wonder if this might not cover mturk payments someday
@mhhf1ve, you are right.  That is a big market potential for them.  That sounds like the kind of tactical move they would make, too!

 
mhhf1ve
50%
50%
mhhf1ve,
User Rank: Light Sabre
6/5/2014 | 4:24:14 PM
Re: I wonder if this might not cover mturk payments someday
Digital payments not only competes with eBay, but also any other ecommerce site PLUS the banking industry. I'm not sure if this patent will help amazon carve out its niche in the digital payment market, but amazon should certainly be interested in the area.
DHagar
50%
50%
DHagar,
User Rank: Light Sabre
6/5/2014 | 2:19:49 PM
Re: I wonder if this might not cover mturk payments someday
@Joe, I think you nailed it on the competitiveness with eBay.
DHagar
50%
50%
DHagar,
User Rank: Light Sabre
6/5/2014 | 2:18:14 PM
Re: Non-obviousness!!!!!
@Joe, good points.  My bet is they will be miffed that Amazon patented it.

And, create a market for other digital payments, like mhhf1ve mentions as well.
Joe Stanganelli
100%
0%
Joe Stanganelli,
User Rank: Light Sabre
6/5/2014 | 3:30:34 AM
Re: I wonder if this might cover mturk payments someday...
@mhhf1ve: You know, the more I think about this, the more I think that this is Amazon trying to leverage digital currency for its own purposes in taking on PayPal and eBay.

Amazon has long competed with eBay quite directly, offering a variety of new and used goods from online sellers, and even offers online auctions -- just like eBay.  This could be yet another step toward making eBay less relevant.
Joe Stanganelli
50%
50%
Joe Stanganelli,
User Rank: Light Sabre
6/5/2014 | 3:28:00 AM
Re: More flexible cloud computing
@Kruz: Excellent point.  Expect Amazon to get way more law enforcement "requests" for information on users to determine if they are also Bitcoin/digital currency users.
Joe Stanganelli
50%
50%
Joe Stanganelli,
User Rank: Light Sabre
6/5/2014 | 3:24:23 AM
Re: Non-obviousness???
@DHagar: Interesting thoughts.  It is, in this sense, good marketing and publicity.  What better way to announce to the world 1) you support Bitcoin and 2) you're ahead of your competitors on payment methods than by patenting it and letting the reporters go to town on it?

The question is: Will the die-hard Bitcoin/digital currency community hate Amazon because it's dared to patent this?  Or will they appreciate Amazon loudly giving their currency more legitimacy?
mhhf1ve
50%
50%
mhhf1ve,
User Rank: Light Sabre
6/4/2014 | 6:48:28 PM
I wonder if this might cover mturk payments someday...
Amazon's mechanical turk might also benefit from a digital cash payment system... 
DHagar
50%
50%
DHagar,
User Rank: Light Sabre
6/2/2014 | 12:31:01 PM
Re: Non-obviousness???
@Joe, good thoughts - I am wondering the same thing.

To your point on defensive patent, I am wondering if that isn't to open the door on new overall purchasing for Amazon products/services with digital cash and they see this as a door opener?
DHagar
50%
50%
DHagar,
User Rank: Light Sabre
6/2/2014 | 12:23:45 PM
Re: More Flexible Cloud Computing
@Susan, you do what banking does.  You create a system of transparencies and limits on known illegal transactions.  Then you at least have a reasonable safety net to limit incentives for illegal behavior and/or exposure.
Page 1 / 3   >   >>
Educational Resources
sponsor supplied content
Educational Resources Archive
Flash Poll
From The Founder
Networks of the future will rely on "white box" switches and servers rather than proprietary hardware and that's going to alter the shape of the communications industry. Who says so? John Chambers.
LRTV Huawei Video Resource Center
Huawei's Power Play With GrupoGiro

4|1|15   |   2:51   |   (0) comments


Daniel Heredia, CEO of Energiro, the power management services part of Spain's Grupo Giro, explains why his company has just struck a partnership with Huawei for uninterruptible power supply products and how he hopes it can take the partnership into other markets.
LRTV Huawei Video Resource Center
Huawei Intros Smart Device for eLTE

3|30|15   |   05:25   |   (0) comments


Huawei has developed a secure, location-aware multimedia smartphone for its eLTE trunked radio solution, says Huawei's Norman Frisch.
LRTV Huawei Video Resource Center
Win Video, Win All

3|30|15   |   06:44   |   (0) comments


Video is going to be the next main source of revenue for operators. Operators have big opportunities and advantages to monetize video services. Globally, Huawei has helped more than 70 operators achieve over 30 million video subscribers. Watch this video for more.
LRTV Custom TV
The Benefits of HyperScale Clouds for NFV

3|27|15   |   01:50   |   (0) comments


Hyperscale cloud has been developed by the Internet giants to support the creation and delivery of software-based services at blistering speeds, and at the lowest possible cost. The original ETSI NFV vision was to adopt hyperscale cloud architecture and practices. This vision has become somewhat obscured along the way, due to misunderstandings about the hyperscale ...
LRTV Huawei Video Resource Center
eLTE Rapid Meets the Need for Speed

3|26|15   |   4:45   |   (0) comments


Designed especially for emergency and dedicated ad hoc local mobile communications coverage, Huawei's eLTE Rapid solution can deliver trunked voice, video and data coverage for multiple users over a 6km range and be set up in just 15 minutes, explains Huawei's Norman Frisch.
LRTV Huawei Video Resource Center
On Videos: Challenges & Opportunities

3|26|15   |   5:56   |   (0) comments


Most everything is now connected. And along with 4K and 4G technologies, everyone could be creating and broadcasting video contents. Users are expecting better video experience with any screen, anywhere and anytime. Operators will meet new challenges, but also see some big opportunities.
LRTV Custom TV
JDSU: Delivering Dynamic Networks for a Personalized Experience

3|26|15   |   5:59   |   (0) comments


Light Reading speaks to JDSU at Mobile World Congress 2015 about new solutions in the areas of HetNets, VoLTE, backhaul, virtualization, big data analytics, and real-time intelligence.
LRTV Custom TV
Smarter Service Chaining & New Ways to Benefit From Qosmos Technology

3|25|15   |   03:11   |   (0) comments


David Le Goff, director of strategic and product marketing at Qosmos, explains how the company has added application awareness to subscriber information to make service chaining more efficient and reduce costs for networking and infrastructure. In addition, Qosmos technology, which has been delivered as C libraries, is now also available as a virtual machine, ...
Between the CEOs
Qosmos CEO: The Changing Face of DPI

3|24|15   |   13:53   |   (0) comments


LR CEO and Founder Steve Saunders sits down with the head of Qosmos to talk about the changing state of the art in deep packet inspection technology, including its role in SDN and NFV architectures. Also, how the comms market is becoming more like the automotive industry.
LRTV Huawei Video Resource Center
FC Schalke Scores With Its Agile Stadium

3|24|15   |   6:23   |   (0) comments


Top German soccer club FC Schalke 04 has deployed a new, agile WiFi network from Huawei in its Veltins-Arena stadium and is reaping the benefits in terms of customer satisfaction and business opportunities, explains marketing chief Alexander Jobst.
LRTV Huawei Video Resource Center
Huawei’s Insights on Mobile Video

3|24|15   |   7:51   |   (0) comments


More people than ever are now watching videos on smartphones. Seventy percent of mobile traffic will be video traffic until 2018. In this video, Huawei's exports give their insights on mobile video in terms of business model, network planning and 4G network construction.
LRTV Documentaries
The Rise of Industry 4.0

3|24|15   |   02:26   |   (9) comments


Are you ready for the fourth industrial revolution? It's a big deal for influential operators such as Deutsche Telekom.
Upcoming Live Events
April 14, 2015, The Westin Times Square, New York City, NY
May 5, 2015, Hyatt McCormick Place, Chicago, IL
May 6, 2015, Georgia World Congress, Atlanta, GA
May 12, 2015, Grand Hyatt, Denver, CO
May 13-14, 2015, The Westin Peachtree, Atlanta, GA
June 8, 2015, Chicago, IL
June 9-10, 2015, Chicago, IL
June 9, 2015, Chicago, IL
June 10, 2015, Chicago, IL
September 29-30, 2015, The Westin Grand Müchen, Munich, Germany
All Upcoming Live Events
Hot Topics
AT&T Woos SMBs With Small-Scale WiFi
Sarah Thomas, Editorial Operations Director, 3/26/2015
Just Don't Say IBM Is 'Relaunching' Networking Business
Mitch Wagner, West Coast Bureau Chief, Light Reading, 3/26/2015
TV Everywhere Nears Mainstream Adoption
Mari Silbey, Independent Technology Editor, 3/27/2015
Carriers Are Bright Spot in BlackBerry Q4
Sarah Thomas, Editorial Operations Director, 3/27/2015
Comcast Says TWC Deal Will Close Later
Mari Silbey, Independent Technology Editor, 3/26/2015
Like Us on Facebook
Twitter Feed
Webinar Archive
BETWEEN THE CEOs - Executive Interviews
LR CEO and Founder Steve Saunders sits down with the head of Qosmos to talk about the changing state of the art in deep packet inspection technology, including its role in SDN and NFV architectures.
Chattanooga’s EPB publicly owned utility comms company has become a poster child for how to enable a local economy using next-gen networking technology. Steve Saunders, Founder of Light Reading, sits down with Harold DePriest, president and CEO of EPB, to learn how EPB is bringing big time tech to small town America.