938
Mobile Computing and Commerce Legal
Implications
Gundars Kaupins
Boise State University, USA
Copyright © 2009, IGI Global, distributing in print or electronic forms without written permission of IGI Global is prohibited.
introduction
This article summarizes the present and potential legal
constraints of mobile computing and commerce and
provides company policy suggestions associated with
wireless data collection, dissemination, and storage.
The legal constraints focus on major American laws
that directly and indirectly involve mobile computing
and commerce.
Mobile computing is the ability to use wireless
devices such as laptops and handheld computers in
remote locations to communicate through the Internet or
a private network. The technology involves a computer
linked to centrally located information or application
software through battery powered, portable, and wire-
less devices (Webopedia.com, 2007b).
Mobile commerce uses computer networks to
interface with wireless devices such as laptops, hand-
held computers, or cell phones to help buy goods and
services. It is also known as mobile e-commerce, m-
commerce, or mcommerce (Webopedia.com, 2007b).
Radio frequency identifcation (RFID) technologies
are often a part of mobile commerce. The technologies
use radio waves to provide services such as identifying
product packaging, paying tolls, purchasing at vending
machines, and covertly monitoring employee locations
(Grami & Schell, 2007).
This article is signifcant because mobile computing
and commerce are expanding at a terrifc pace. Laws
have been slow to catch up with the new technologies.
However, some existing laws on mobile computing and
commerce already have a large impact on how com-
munication is disseminated, security and privacy are
maintained, and companies develop mobile policies.
This article helps corporate managers reduce potential
litigation because these mobile laws are described and
their implications on company policies disseminated.
background
Companies incorporating mobile computing and com-
merce must balance the freedom of communication
with legal constraints associated with privacy, fair-
ness, copyrights, and discrimination. Technological
and legal changes in the last 40 years have lead to a
plethora of wireless devices and laws.
wireless device history
First generation (1G) systems that began in the early
1980s provided analog voice-only communications
while second generation (2G) systems introduced in
the early 1990s provided digital voice and low speed
data services. Third generation (3G) systems introduced
in the early 2000s focused on packet data rather than
just voice (Grami & Schell, 2007).
Greater standardization has contributed to greater
wireless computing and communication especially in
Japan and Europe. The United States is catching up
(Ackerman, Kempf, & Miki, 2003).
An example of greater standardization is Wi-Fi,
an underlying technology for laptops associated with
local area networks (LANs) based on the Institute of
Electrical and Electronics Engineers (IEEE) 802.11
specifcations. It was developed to be used for wire-
less devices, such as laptops for LANs, but it is now
increasingly used for more services, including the
Internet, television, DVD players, and digital cameras
(Webopedia.com, 2007a).
With faster data transmission speeds and battery
power boosts, employees are making wireless devices
natural extensions of themselves with increased use
of LANs, more location-based services, and wireless
gadgets (Hirsh, 2002). Accordingly, working wire-
lessly allows employees to work almost anytime and
anywhere. Information becomes more readily available
in which employees can see and talk to each other, send