I've been looking recently at OpenId a little more closely. It's a great system, that I've been using for a number of years.
My first free openid provider (http://stuartyeates.videntity.org/) went belly up for reasons I'm still not too sure about, but the life expectancy of internet startups and free services has never been that long. I have a new identity (http://stuartyeates.myopenid.com/) which does me just fine.
One thing I've been noticing is that while a host of the internet services that I use want to be my identity provider, very few of them want to let me login using an openid provided by another identity provider. From a business point of view I can completely understand this: they want to know everything about the user so they can (a) off better, more integrated services and (b) see more customised advertising. I have no problem with (a), but (b) is one of the reasons I'm eying up openid in the first place.
They don't understand that to get to openid heaven, they're going to have to die. By giving away the user-authentication-and-give-us-your-personal-information step, they can drive significantly more logins and significantly deeper interaction with their website and with their content. Sure, they can't necessarily get access to the users email address and whatever fake personal details they submitted at sign up, but I've yet to see this used particularly well anyway. The personal details certainly don't seem to be used to anywhere near the same effect as analysis of user behaviour.
What would be really good is an openid identity provider with (a) shared no information with any of the large advertising groups or dominant internet companies, (b) really clear information about privacy expectations (and I'm not talking here about a page of legalese titled "privacy policy," but discussion and disclosure of things which jurisdictions user data is stored in, steps taken to avoid collection of user data, etc) and (c) a clear sustainability model to prevent it being bought-out for the user data and to ensure it's continuity (I can imagine paying a subscription for it).
I can imagine that this is the kind of thing that google or yahoo might sponsor in their efforts to promote their next generation of web authentication standards. The existance of such an outfit would hugely boost the reputation of such a standard and lacking the huge advertising and existing lockin it would hardly challenge their own identity providers while answering a whole range of independence, privacy and monopoly questions.
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