I am not happy with the FIDO Alliance and their FAQ do not eliminate my concerns.
The major concern beeing: "Why isn't this going straight to a standards body?"
This is what standardization bodies working groups are for. Work on protocols and formats. Work on security considerations. Use the experience of "the community".
The FIDO authentication protocol needs to be part of a standardized, interoperable ecosystem to be successful. Building this ecosystem requires the active commitment of everybody from hardware chipset vendors, to the manufacturers of back-end server systems. Coordination across the divergent interests of these players is a complex affair, and one that current technical standards bodies are not well suited to handle.
The FIDO Alliance will refine the protocol, and monitor the extensions required to meet market needs and to make the protocol robust and mature. Implementation will not be undertaken by the FIDO Alliance. The mature protocol will be presented to the IETF, W3C or similar body after which it will be open to all industry players to implement.
So FIDO is developing a protocol and will then present it to one standardization body...
Meanwhile it is a closed thing and it costs relevant amounts of money to join the alliance.
This neither free nor open.
During IIW there were several sessions on FIDO (1, 2). Each full of good intentions and marketing speek but no substance. No real information. You have to join the alliance to get that. Well, ...
Somebody at Nok Nok Labs convinced somebody at Paypal to hire them and found FIDO. Why Google joined despite Google's support for the W3C WebCrypto group I have no idea.
The W3C WebCrypto group is were this belongs. This might need rechartering of the group. But that is doable. Especially if the proposal is backed by a prototype implementation. Especially if it is backed by by Paypal, Lenovo, Google, Nxp and others.
I believe that we need better authentication methods beyond username and password. I think that bring your own (hardware) identiy might work to that goal. I believe that mobile phones, and SIM cards and NFC help to achieve this. I believe that the mobile wallet is the right user interface to choose your identity.
I believe that doing it in a closed group is not the right way.