“If, as predicted, the next-generation iPhone includes a chip that makes the device scannable at checkout counters, Apple could catalyze a transformation in how money moves that is at least as substantial as the improvements in how data moves that Cupertino forced upon the telecom industry,” Marcus Wohlsen reports for Wired. “At first, an iPhone wallet likely would act as a surrogate for credit cards, a way to store the data of multiple cards but using the phone as the way to transfer that data instead of a swipe.”
“But over time, the point of holding onto any of those cards, which become digital abstractions once they’re on the phone, likely will fall away,” Wohlsen reports. “Instead, for all anyone with an iPhone is concerned, the way to pay will be Apple.”
“It’s Apple, not the credit card companies, that have the control, even if those iPhone wallets are being used to “store” those credit cards. The credit card becomes abstract, just another option to tap that otherwise stays hidden. Really, you’ll be paying with Apple,” Wohlsen reports. “Once the credit card becomes that hidden (do you remember which one is connected to your iTunes account?), it’s only a short logical step to that card being eliminated altogether.”
Read more in the full article here.
Related articles:
Apple negotiates deep payments discounts from big banks – September 4, 2014
Apple’s game-changing ‘iWatch’ to allow mobile payments, feature curved display – September 4, 2014
Tim Bajarin: Apple’s smartwatch is going to be historic – September 4, 2014
Apple’s next-gen iPhone, smartwatch to offer NFC technology – September 4, 2014
Apple’s plan to kill PayPal has finally become clear – September 4, 2014
Apple, Nordstrom in talks to partner on iPhone payments – September 3, 2014
Analyzing the potential benefit of an Apple payment ecosystem – September 2, 2014
Apple stock at least 6% upside from mobile payments, potentially much more – September 2, 2014
iWallet: Apple teaming up with Amex, Visa, MasterCard on iPhone payments – September 1, 2014
NFC chip from NXP confirmed for Apple’s ‘iPhone 6′ – August 29, 2014
Apple may soon deliver the watershed moment for mobile payments – August 29, 2014
Apple working with NXP to bring pay-by-touch NFC technology in new iPhone – August 29, 2014
Apple’s ‘iPhone 6′ will include NFC mobile payments, sources say – August 28, 2014
More evidence of NFC support for both iPhone 6 models – August 27, 2014
Schematic suggests NFC chip in ‘iPhone 6,’ amount of RAM remains unknown – August 18, 2014
Apple’s iPhone 6 line will sport new A8 chip, faster Wi-Fi, improved Touch ID, and NFC – August 6, 2014
NFC, wireless charging, improved LTE rumored for Apple’s ‘iPhone 6′ – June 9, 2014
Apple patent reveals new iPhone antenna that adds NFC – May 22, 2014