Subject: Re: GNU banking
From: "Jesus M. Gonzalez-Barahona" <>
Date: Fri, 26 May 2000 19:59:17 +0200 (CEST)

Jean Camp writes:
 > is an open source implementation of SET.
 > In this case the values for the creators appear to be all the standard
 > (e.g. rep, brand, mindshare) yet in addition -- since banks make moeny from
 > the merchants which they bring into their network (in addition to the
 > customers of course..) the bank has an interest in risk management. SET
 > provides a better level of protection than SSL, ideally, by protecting the
 > credit car dnumber from the merchant. Merchant and merchant employee fraud
 > are the largest fraud flows through the credit card system.  So in this
 > case the value to the bank would be its own improved risk management were
 > this implementation to be widely adopted.  Is this a new FSB model?

	I know this case first hand, since I had the opportunity to
talk to the developers of the software when they were figuring out if
they should make the software libre or not.

	My impression is that Banesto (the bank financing the
development, which happens to be a part of the largest Spanish baking
group) is mainly selling services, not software, and therefore
had no interest in marketing the software. They were interested in
distributing it as cheap as possible to their clients, since they make 
money form the clients, not from the software. And the company making 
the software (Onirica) were willing to try the free software model (they are
young people with expertise in libre software). They got enough
resources from Banesto to build the product, and Banesto got its
software, royalty-free, at a reasonable cost.

	From my point of view, it is just another instance of the case 
where a company wants many copies of some kind of software, and where
it is much more cheap to finance a libre software development than to
negotiate n licenses with a proprietary software vendor.



Jesus M. Gonzalez Barahona                | Grupo de Sistemas y Comunicaciones / | ESCET, Universidad Rey Juan Carlos 
tel: +34 91 664 74 72                     | c/ Tulipan s/n
fax: +34 91 664 74 90                     | 28933 Mostoles, Spain