Apple Celebrates 10 Years of Apple Pay and Shares Future Plans
On Thursday, Apple marked a significant milestone in the history of its mobile payment service, Apple Pay. The company celebrated its 10-year anniversary with Apple Pay and revealed exciting updates on how the service will evolve in the future.
New Features and Partnerships
Apple announced several new features that will be added to Apple Pay in the coming months. One of the most significant additions is the ability for users to redeem rewards, which will allow consumers to earn points or cash back on their purchases made with Apple Pay-enabled issuers and lenders. This feature was first introduced with the launch of iOS 18 and eligible Discover credit cards, but Apple has announced that it will have more partners in the future.
Another significant update is the expansion of installment loan options through partnerships with several lenders, including Affirm, Monzo Flex, Klarna, Citi, Synchrony, ANZ, DBS, CaixaBank, HSBC, NewDay, Zilch, and Fiserv. These partnerships will enable consumers to purchase items online or in-app using Apple Pay and pay for them over time.
Klarna Integration
Starting today, support for Klarna will be available in the U.S. and the U.K., allowing users to make purchases with Apple Pay and split payments into installments. This integration marks another significant partnership between Apple and a leading lender, further expanding the options available to consumers using Apple Pay.
Expansion of Installment Loan Options
In addition to Klarna, Apple has announced that it will expand access to installment loan options through partnerships with eligible credit or debit cards from Citi and Synchrony in the U.S. and other participating issuers with Fiserv. This expansion will also include ANZ in Australia, DBS in Singapore, CaixaBank in Spain, HSBC, NewDay, and Zilch in the U.K.
Canada to Get Klarna
Apple has also announced that it will roll out support for Klarna in Canada at some point in the future, although no specific date was provided.
Rollback of Apple Pay Later
In June, Apple surprised many by announcing that it would be rolling back its plans for Apple Pay Later, a "buy now, pay later" service. Instead, Apple will partner with banks and lenders to offer this service through Apple Pay, allowing the company to maintain its focus on partnerships while providing users with more options.
Goals for Apple Wallet
According to Jennifer Bailey, vice president of Apple Pay and Apple Wallet, the addition of loan providers is just the beginning of further changes for Apple’s payment service and wallet. Bailey noted that the company aims to give consumers "the option to redeem rewards," which will enable issuers and lenders to better connect with their customers.
Apple has been working towards replacing users’ physical wallets entirely, with Apple Wallet supporting things like event tickets, transit cards, keys, and government IDs. However, the adoption of digital IDs varies by state, with California, Arizona, Colorado, Georgia, Hawaii, Maryland, and Ohio now supporting digital driver’s licenses and state IDs.
Apple Pay Adoption
After 10 years, Apple Pay has reached an impressive milestone, with hundreds of millions of consumers using the service across 78 markets. The payment technology is supported by over 11,000 bank and network partners, making it a leading mobile payment solution worldwide.
In conclusion, Apple’s celebration of its 10-year anniversary with Apple Pay marks a significant milestone in the history of mobile payments. With new features like redeeming rewards and expanded installment loan options through partnerships with several lenders, Apple continues to innovate and improve its service. As the company looks towards the future, it is clear that Apple Pay will remain a leading player in the world of mobile payments.
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