Apple in Talks With Retailers About Mobile Payments Service

iphone_5s_touch_idApple is in talks with several high-profile retail store chains about a mobile payment service, reports 9to5Mac. Citing a source with knowledge of the discussions, the site suggests Apple is speaking with retail store brands that sell luxury clothing and premium goods to gauge interest in such a service.

An Apple-branded mobile payment solution would likely be integrated directly into iOS devices, allowing people to use their iPhones or other devices to make purchases for physical goods both on the web as well as in retail stores. Currently, iTunes customers can use their accounts to make purchases in iTunes and in brick and mortar Apple Stores, a feature Apple hopes to expand to third-party retailers.

Discussions with retailers have reportedly focused on the difficulties behind building a unified payment service to be used with multiple retail outlets, with Apple also encouraging retailers to adopt the company's Bluetooth-based iBeacons, which could potentially be used as part of a payments service in the future.

Every retail outlet has unique payment and transaction practices, so building a single mobile payments solution will require extensive research from Apple, and the company appears to be in that research and development phase.

Apple has also been asking retailers to survey customers regarding potential interest in paying for items with their smartphones and other mobile devices. Apple also has been seeking general insight from retail store chains to see if the companies would be interested in utilizing an Apple payments service.

Apple's interest in a possible mobile payment solution has been rumored for years, but gained renewed attention in early 2014, after The Wall Street Journal reported Apple was looking to develop a mobile payment service to leverage its store of more than 800 million iTunes accounts, many of which have credit cards attached.

In April, the company was said to be in talks with several senior payments industry executives about possible roles at the company and Apple has also spoken with Paypal about a possible partnership.

According to Apple CEO Tim Cook, a mobile payment solution was "one of the thoughts" behind Touch ID. He has also said that Apple is "intrigued" with mobile payments, noting that there's a "big opportunity on the platform."

Apple has promised new hardware, software, and services in 2014, and it is possible that a mobile payment service could come later this year, though a set date is unclear as the company is still in the developmental stages.

Related Roundup: Apple Pay

Popular Stories

maxresdefault

Apple Releases iOS 18.4 With Priority Notifications, Ambient Music, New Emoji and More

Monday March 31, 2025 10:03 am PDT by
Apple today released iOS 18.4 and iPadOS 18.4, the fourth major updates to the iOS 18 and iPadOS 18 operating system updates that came out last year. iOS 18.4 and iPadOS 18.4 come two months after Apple released iOS 18.3 and iPadOS 18.3. Subscribe to the MacRumors YouTube channel for more videos. The new software can be downloaded on eligible iPhones and iPads over-the-air by going to...
iPhone 17 Pro 34ths Perspective

iPhone 17 Pro Launching Later This Year With These 10 New Features

Sunday March 23, 2025 10:00 am PDT by
While the iPhone 17 Pro and iPhone 17 Pro Max are not expected to launch until September, there are already plenty of rumors about the devices. Below, we recap key changes rumored for the iPhone 17 Pro models as of March 2025: Aluminum frame: iPhone 17 Pro models are rumored to have an aluminum frame, whereas the iPhone 15 Pro and iPhone 16 Pro models have a titanium frame, and the iPhone ...
top stories 2025 03 29

Top Stories: WWDC 2025 Announced, iPhone 17 Pro and iOS 19 Rumors, and More

Saturday March 29, 2025 6:00 am PDT by
Apple's big developer event is a little over two months away, and rumors about what we can expect to see in Apple's next major operating system updates are becoming increasingly frequent. A public release of iOS 18.4 is also imminent with a number of updates and improvements, although we won't be getting the major Apple Intelligence Siri upgrades that had reportedly been planned for this...
iOS 19 Mock WWDC25 Feature

iOS 19 Expected to Run on These iPhones

Monday March 31, 2025 5:28 pm PDT by
iOS 19 will not be available on the iPhone XR, iPhone XS, or the iPhone XS Max, according a private account on social media site X that has accurately provided information on device compatibility in the past. The iPhone XR, iPhone XS, and iPhone XS Max all have an A12 Bionic chip, so it looks like iOS 19 will discontinue support for that chip. All other iPhones that run iOS 18 are expected...
Magic Mouse Green

What to Expect From the Magic Mouse 3

Saturday March 29, 2025 10:15 am PDT by
Apple is reportedly working on a new Magic Mouse. Below, we recap what to expect. The two key rumors for the Magic Mouse 3 so far include a relocated charging port, along with a more ergonomic design. It was briefly rumored that the Magic Mouse 3 would also feature voice control, but that was misinterpreted information. Relocated Charging Port While the Magic Mouse switched from...
iOS 18

iOS 18.4 Expected Next Week - Here Are the Release Notes

Friday March 28, 2025 2:01 pm PDT by
With the second release candidate of iOS 18.4 that Apple seeded out today, the company finally provided us with release notes that give a full rundown on what to expect. There's an Apple Vision Pro app, new Apple Intelligence features for notifications and additional language support, plus an Apple News Food feature for Apple News+ subscribers, and several updates that should improve the...
Foldable iPhone 2023 Feature Homescreen

Six Things to Know About Apple's Upcoming Foldable iPhone

Friday March 28, 2025 3:54 pm PDT by
We've been hearing rumors about a foldable iPhone for almost a decade now, but it looks like we might finally see the device come to fruition in 2026. We're going to be waiting many more months for the foldable iPhone, but so far we're hearing good things. Apple wants to make it creaseless. It's taken Apple multiple years to design a foldable iPhone that it's satisfied with because Apple ...
iOS 19 visionOS UI Elements

Apple Codename Provides Clue About iOS 19's Rumored New Design

Sunday March 30, 2025 6:40 am PDT by
Multiple sources have claimed that iOS 19 will introduce a new design with more translucent buttons, menus, notification banners, and more, and there is now another clue that points towards this glass-like appearance. Bloomberg's Mark Gurman today said the new design project is codenamed "Solarium" internally. A solarium is a room with glass walls that allow in plenty of sunlight, so this...

Top Rated Comments

2457282 Avatar
142 months ago
Tim, Please buy Square. Their CashRegister is already based on the iPad. And I love everything they do. This is the way to go. That will allow you to integrate the square wallet with passbook and ibeacons and boom you have a solid service that already accepts all the credit cards and allows the phone to be a wallet.

Make this happen, Tim, Pleeeeeezzzzzzz
Score: 8 Votes (Like | Disagree)
Revearti Avatar
142 months ago
Sold. I want my phone to be my wallet.
Score: 4 Votes (Like | Disagree)
HobeSoundDarryl Avatar
142 months ago
Whats the point? Pure convenience.
No, the point is security. Think it through…

How it works now: a complete stranger takes a piece of plastic you hand them and runs it through a machine, often out of your sight. Then, they bring you a piece of paper and you sign it to approve the transaction. You've just handed a stranger your personal credit card number, the security ID on back and given them a signature. Over the course of a month, you might do this what? 10 times? 20 times? 50 times? More?

How it could work: you never hand over anything to make a purchase. You (yourself) use an app on your iDevice that says you want to pay someone for something. You punch in the total amount to pay them. Your password or thumbprint represents the signature. Money changes hands. Stranger doesn't possess your account number, pin or signature but the same transaction gets done.

THAT's the point. The existing system relies on a big layer of trust. You are trusting that total strangers in often low-paying jobs will not decide to take the information you hand them and make a few purchases for themselves. You've given them all they need to do so and you do it over and over with countless strangers during the course of a month or year.

The alternative "hides" those key bits of information that makes theft by this method relatively easy without significantly changing people's ability to buy & sell. By hiding such info, the ability for the average Joe to commit theft by this method is made much more complicated.

Is it foolproof? No. But it is much better than the current method. Along with hiding the crucial bits of info, the same app can also alert you whenever transactions are being made so you could catch any attempts to charge to your account in real time. As is now, you often find out about such actions days or weeks later, often when the bill shows up and has 2 tickets to Hawaii or other surprises on it.

Why we don't see this as a paramount issue is that the bank typically makes up for the theft by just eating it. You dispute the charge, they can't prove you charged it, so they take the hit. What they would like is to stop taking the hit and instead shift that to us consumers. However, if they did that with the system as is, not only would there be huge backlash but it might make many of us stop using credit cards. They don't want that. So they're moving down this path of shifting the model from pieces of plastic to hiding the key info via mobile payments.
Score: 3 Votes (Like | Disagree)
Hurda Avatar
142 months ago
Sold. I want my phone to be my wallet.
Until you're standing in line in a shop and can't pay because their internet-access broke down.
Score: 2 Votes (Like | Disagree)
djam Avatar
142 months ago
Why does it have to go through an Apple account? I'd far rather NFC and be able to use my banks app to pay.

I feel there are going to be a lot of other people that think this way too.
Score: 2 Votes (Like | Disagree)
Analog Kid Avatar
142 months ago
Sold. I want my phone to be my wallet.
I still don't see the point of all this. Is it faster, easier, more secure? Am I the only person left who wants their phone to be a phone and their wallet to be their wallet? Are plastic credit cards just too big and heavy to carry around anymore?
If I get higher cash back than I do with my Amex, I'll think about it.
Cash back is the biggest scam ever. You get a percent or three discount on purchases, but they charge vendors 5%. By incentivizing you to use the card, Amex gets to skim more off of the vendors profits. It would be in the vendor's interest to give you a 4% discount for using cash, but differential pricing is forbidden by most vendor agreements.

Leaches on the free market...
Score: 2 Votes (Like | Disagree)