Interoperability: Today's Road to Tomorrow's Future
Interoperability: Today's Road to Tomorrow's Future
Interoperability: Today's Road to Tomorrow's Future
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<strong>Interoperability</strong>:<br />
Today’s <strong>Road</strong> <strong>to</strong> Tomorrow’s <strong>Future</strong><br />
Dave Pounds –Direc<strong>to</strong>r of Information Technology<br />
North Texas Tollway Authority<br />
Daniel Robicheaux –Direc<strong>to</strong>r of Programs<br />
Electronic Transaction Consultants Corporation<br />
<strong>Interoperability</strong>: Today’s <strong>Road</strong> <strong>to</strong> Tomorrow’s <strong>Future</strong><br />
In a perfect world, how would we envision Open <strong>Road</strong> Tolling and <strong>Interoperability</strong>?<br />
Will “Trekkies” finally get their dream commute?<br />
“Beam me up Scotty… (and charge it <strong>to</strong> my TollTag account!)”
In a perfect world, how would we envision Open <strong>Road</strong> Tolling and<br />
<strong>Interoperability</strong>?<br />
Will Stephen Spielberg see his “Minority Report” future‐car vision realized?<br />
STEPHEN SPIELBERG HAD THIS TO SAY:<br />
“I thought Lexus might be interested in going in<strong>to</strong> a speculative future <strong>to</strong> see what<br />
the transportation systems and cars would look like on our highways in fifty<br />
years. The result of that exploration is something that elevates and transforms<br />
driving in<strong>to</strong> an environmental experience.”<br />
What characteristics should our future Toll<br />
<strong>Interoperability</strong> include?<br />
• Accessible by all drivers everywhere<br />
• Seamless <strong>to</strong> the cus<strong>to</strong>mer<br />
• Transparent <strong>to</strong> method<br />
(video, transponder, satellite, VMT)<br />
• Multi‐modal – universal payment<br />
– <strong>to</strong>lls, parking, Bus/Transit, mCommerce, etc…<br />
Like the current credit card network?…
In the Beginning …<br />
When did <strong>Interoperability</strong> become a problem?<br />
Cash was universal and interoperable until<br />
Electronic Toll Collection arrived in 1989!<br />
Why do we need <strong>to</strong> focus on <strong>Interoperability</strong>?<br />
3,107,253,638 electronic transactions<br />
(67% of 2007 USA <strong>to</strong>lls were collected electronically)<br />
Cash<br />
100%<br />
75%<br />
50%<br />
Electronic<br />
25%<br />
1985<br />
1990<br />
1995<br />
2000<br />
2005<br />
2010<br />
2015<br />
Source: IBTTA Data Warehouse
States with Current and Near‐term Toll Operations<br />
Sourcse:IBTTA, Press search, Toll <strong>Road</strong> News, American Society of Civil Engineers<br />
States with active <strong>to</strong>ll operations<br />
States with <strong>to</strong>ll legislation<br />
States without <strong>to</strong>ll roads<br />
States by Type of RFID Transponder/System<br />
Type of Reciprocity<br />
Active - Mark IV<br />
Active Other<br />
Passive Allegro - Amtech<br />
Passive ATA/StickerTag<br />
Title21 Open Pro<strong>to</strong>col
States by Type of Reciprocity<br />
Type of Reciprocity<br />
Interstate P2P <strong>Interoperability</strong><br />
Statewide P2P <strong>Interoperability</strong><br />
Statewide Smarthub Interop<br />
Single BOS for State<br />
Multiple BOS Companion Accts<br />
How Did <strong>Interoperability</strong> Get Started?
Then It Became Popular<br />
The Network Effect<br />
From Wikipedia, the free encyclopedia<br />
In economics and business, a network effect (also called network externality) is the effect that one user of a good or service has on<br />
the value of that product <strong>to</strong> other people.<br />
The classic example is the telephone. The more people own telephones, the more valuable the telephone is <strong>to</strong> each owner. This<br />
creates a positive externality because a user may purchase their phone without intending <strong>to</strong> create value for other users, but<br />
does so in any case.<br />
The expression "network effect" is applied most commonly <strong>to</strong> positive network externalities as in the case of the telephone.<br />
Negative network externalities can also occur, where more users make a product less valuable, but are more commonly<br />
referred <strong>to</strong> as "congestion" (as in traffic congestion or network congestion).<br />
Things Are Different in Texas<br />
vs.<br />
Peer <strong>to</strong> Peer<br />
Smart Hub
Home<br />
Agency<br />
Home Agency Validation List<br />
All Interoperable Validation List<br />
$ All Away Transactions<br />
$ Home Agency Only Transactions<br />
Smart HUB<br />
Home Agency<br />
• Transmits Home Agency<br />
Validation List<br />
• Transmits Away Transactions<br />
• Uses HUB Reports for<br />
reconciliation<br />
The Interoperable HUB<br />
does the work<br />
• Creates & distributes Validation<br />
List of all Interoperable Accounts<br />
• Separates Home Agency<br />
Transactions from all Away<br />
Transactions<br />
• Provides reconciliation reporting<br />
The Smart Hub provides <strong>Interoperability</strong> in Texas
Why is <strong>Interoperability</strong> important <strong>to</strong> the NTTA?<br />
1. Seamless Statewide <strong>Interoperability</strong> for our cus<strong>to</strong>mers!<br />
2. Improves collaboration with other regional agencies.<br />
3. Revenue Impacts<br />
Revenue is recognized (deposited) much faster with transponder‐based <strong>to</strong>lling<br />
4. Operational Impacts<br />
Avoid millions of images processed through OCR and manual review & verification<br />
Avoid unnecessary invoices being sent <strong>to</strong> tag savvy cus<strong>to</strong>mers from other regions<br />
5. It is the right thing <strong>to</strong> do for our cus<strong>to</strong>mers!<br />
NTTA 2008 Interoperable Tolls<br />
• Tolls Sent<br />
– 11 Million Transactions<br />
– $7 Million Revenue<br />
• Didn’t have <strong>to</strong> process<br />
images<br />
• Didn’t have <strong>to</strong> send<br />
invoices<br />
• Tolls Received<br />
– 13.6 Million Transactions<br />
– $50 Million Revenue<br />
• Didn’t have <strong>to</strong> pursue<br />
non‐payment<br />
• Cus<strong>to</strong>mers are happier
Tremendous Growth Experienced<br />
NTTA – HCTRA P2P<br />
30 M<br />
20 M<br />
TTA/Austin Toll<br />
Tolls Begin<br />
Transactions<br />
TTA/SH 121<br />
Tolls Begin<br />
10 M<br />
0<br />
2003<br />
2004<br />
2005<br />
2006<br />
2007<br />
NTTA Home & Away Transactions<br />
2008<br />
HOME<br />
AWAY<br />
Tremendous Growth Experienced<br />
NTTA – HCTRA P2P<br />
$60 M<br />
$40 M<br />
Revenue<br />
TTA/Austin Toll<br />
Tolls Begin<br />
TTA/SH 121<br />
Tolls Begin<br />
$20 M<br />
0<br />
2003<br />
2004<br />
2005<br />
2006<br />
2007<br />
NTTA Home & Away Transactions<br />
2008<br />
HOME<br />
AWAY
<strong>Interoperability</strong>: Today’s <strong>Road</strong> <strong>to</strong> Tomorrow’s <strong>Future</strong><br />
Aris<strong>to</strong>tle (quoting a proverb):<br />
“Well begun is half done.”<br />
– A good beginning almost assures success.<br />
– We are only half done and still have more<br />
work <strong>to</strong> complete.<br />
<strong>Interoperability</strong>: Today’s <strong>Road</strong> <strong>to</strong> Tomorrow’s <strong>Future</strong>
State Origins of Alliance for Toll <strong>Interoperability</strong> Members<br />
State Origin of Members<br />
Non Member States with <strong>to</strong>ll Ops<br />
States with <strong>to</strong>ll legislation<br />
Sourcse:IBTTA, Press search, Toll <strong>Road</strong> News, American Society of Civil Engineers<br />
States without <strong>to</strong>ll roads<br />
<strong>Interoperability</strong> Mashup: IAG +ATI<br />
State Origin of Members<br />
Non Member States with <strong>to</strong>ll Ops<br />
States with <strong>to</strong>ll legislation<br />
Sourcse:IBTTA, Press search, Toll <strong>Road</strong> News, American Society of Civil Engineers<br />
States without <strong>to</strong>ll roads
Back <strong>to</strong> the <strong>Future</strong><br />
USA AET Begins<br />
USA ORT & MLFF<br />
Begins<br />
Electronic Toll<br />
Collection Begins<br />
AET in Texas, Florida<br />
N. Carolina, etc.,<br />
ETC in USA reaches 80% & IAG and ATI<br />
networks merge <strong>to</strong> form North Americans<br />
Toll Processing Network<br />
ETC = 100% & IBTTA Commemorates<br />
demolition of last remaining <strong>to</strong>ll booth<br />
100%<br />
75%<br />
50%<br />
1990<br />
Electronic<br />
Cash<br />
1995<br />
2000<br />
2005<br />
2010<br />
2015<br />
2020<br />
2025 2030<br />
1 st 20 years of ETC Next 20 years of Tolls<br />
25%<br />
0%<br />
Closing Comments<br />
“If you build it, they will come…”<br />
Field of Dreams (1989)<br />
If we don’t they will come anyway…<br />
…and we will not be prepared.<br />
As agencies, integra<strong>to</strong>rs, inves<strong>to</strong>rs, and opera<strong>to</strong>rs we have an<br />
opportunity and an obligation <strong>to</strong> address the issue of<br />
interoperability on a national level.<br />
Nationwide interoperability is the right thing <strong>to</strong> do for our<br />
cus<strong>to</strong>mers.
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