Commbank has launched a new system which allows for more complex, powerful and user-friendly payment transactions than afforded by regular EFTPOS and Chip and PIN.

Formally, Pi is a new fully-formed ecosystem and platform which provides the world's first touchscreen encrypted EMV pin pad. In layman's terms, it allows people to pay for stuff using something that looks like and iPad.

The system is open so any merchant can use it. It provides the hardware, software, apps and an app store. An example of an application at the launch was called Bill Splitter. Here, a restaurant table was passed the tablet computer at the end of the meal and with a few button presses could choose how many people were splitting the bill. A slider allowed individual prices to reflect who had wine and it was also simple to select which people were paying for each other. An automatic 'tip adder' calculated any extras before the paying parties could then tap, swipe or insert their cards and pay as usual. Receipts could either be printed or emailed home.

It's all very simply laid out and promised to dramatically reduce the time taken to pay for what might otherwise be a complex transaction which involved input from multiple parties. The challenge will be educating the wider public on using it without sitting down and explaining everything in detail: waiting staff may well find it quicker to perform the transaction alongside the customers themselves.

The potential for apps is large. Other examples included inventory applications which allowed merchants to instantly order new stock when walking around a shop or warehouse and seeing that they were running low. Other apps showed how easy it was to pay using digital vouchers or subsidising a cost using loyalty points. Another example was the ability to add a dollar on to a bill and have it sent to a favourite charity. One of the big bonuses for merchants was the ability to track customers: see where they came from and what times are busiest. The following video has no sound but gives a demonstration of some of these apps.

The challenge for Commbank is creating adoption and the public embracing it without being confused. In this regard, Commbank has partnered with world-renowned companies, IDEO and Wincor Nixtorf who specialise in easy-to-use industrial design and implementation.

Albert (named after Einstein) is a 7-inch tablet that runs on Android. However, there is also a smaller version, which acts as a jacket to existing iPod Touches and the iPhone 4 and 4S, called Leo (after Da Vinci). Albert is in the process of being certified and is expected to complete this process mid-2013. However, Leo is already in pilot and expected to be available to businesses next month. There is an issue here, however, with Albert and Leo running on Android and iOS respectively, apps need to be developed seperately for each platform.

It's hard to see a middle ground in Commbank's great scheme: this is likely to be either globally revolutionary or struggle to catch on. The potential rewards for Commbank are off the scale in that the bank could potentially be in charge of the entire ecosystem that powers global, point of sale commerce, and more. It also reserves the right to vet all apps sold.

Apps are likely to be expensive due to their high-commerce nature and subsequently margins should be high which should attract significant app developer attention if the system catches on. It's not yet clear what cut Commbank will take from any app sales, but the rewards from owning a successful app store can be stratospheric as has been demonstrated by Apple. Ultimately, first impressions at the launch were very favourable. However, if the system catches on then it may be that as-yet-un-thought-of, emergent technologies and innovations which provide the greatest benefits to the platform.