Apple rolls out ‘tap to pay’ feature to turn iPhones into payment terminals
Apple will introduce a new feature that allows businesses to accept credit cards and digital payments via iPhone as it looks to accelerate its expansion into the fintech and payment processing space.
The new feature, which will be rolled out to US users later this year, will use near field communications technology (NFC) to facilitate payments and negate the need for hardware systems provided by the likes of Jack Dorsey’s payments firm Block.
The “tap to Pay” feature will first be offered via fintech payments processing firms Stripe and Shopify Point and will become available to businesses in Spring, bosses said today.
Billy Alvarado, Stripe’s chief business officer, said: “Whether you’re a salesperson at an internet-first retailer or an individual entrepreneur, you can soon accept contactless payments on a device that’s already in your pocket: your iPhone.”
The move marks a ramping up of Apple’s forays into fintech, after it launched a credit card with Goldman Sachs in 2019 as well as reportedly preparing to roll out a buy-now pay-later service.
Shannon Cross, analyst at Cross Research, told Reuters: “Apple views payments as an important standalone business for the company and they are looking to leverage it.
“Them venturing into contactless payments is an indication on how important payments are as a business for the company.”