Apple Pay Has its Ups and Downs
Feb. 23, 2015
Apple Pay is back in the news as recent reports highlight the new mobile payment method’s fits and starts in the U.S. and abroad. At a recent cybersecurity summit at which President Obama signed an executive order the administration hopes will curtail data breaches, the White House confirmed in a briefing document remarks from Apple’s CEO Tim Cook, who told attendees the federal government would begin enabling some government payments to be made using Apple Pay through the General Services Administration’s SmartPay program and it would also accept some payments from consumers through Apple Pay.
On the other hand, Apple Pay’s expected expansion into China has hit a snag as negotiations with UnionPay have bogged down, according to reports. Differences over how to split revenue are one issue, the reports say, along with a technical issue regarding chip standards and the fact that UnionPay is the sole conduit for parties that want to use NFC to complete financial transactions in China. Reports also indicate the Chinese government is unhappy that Apple has engaged with private companies and has “not yet acknowledged regulators.”