Apple’s methodical move into consumer financing has progressed with the launch this week of its Buy Now Pay Later offering, Apple Pay Later.
Reinhardt Krause for Investor’s Business Daily:
The move into consumer financing hasn’t moved AAPL stock much, but investors took notice in other BNPL players, including PayPal Holdings, Square-parent Block, and Affirm Holdings.
The iPhone maker on March 28 officially launched its BNPL offering, called Apple Pay Later. The feature, available to Apple Pay users, will be available initially on an invitation basis.
Apple Pay Later also will compete with BNPL features on Square’s Cash App. Square acquired AfterPay in 2022.
Eugene Simuni, analyst at SVB MoffettNathanson, said in a report… “The launch of Apple Pay Later is a clear competitive threat to all existing BNPL providers, but we expect the impact on Affirm’s near-term financial performance to be limited, Simuni said. “Apple Pay is the second most popular digital wallet in the U.S. (after PayPal), utilized by 30% of the U.S. online shoppers and present on 40% of e-commerce sites.”
At Macquarie Research, analyst Paul Golding said in a report… “Block/Afterpay have a worthy adversary, so Cash App ecosystem will have to be the backstop,” he said. “The growing ubiquity of Apple Pay, the flexibility of the Mastercard BNPL credential, and the iOS-standard nature of Apple Wallet in the U.S. likely make this a strong competitor to Afterpay.”
MacDailyNews Note: Information about how to set up Apple Pay Later here.
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Wii they be monitoring purchases and not allow certain businesses access based on their products?
WAIT!…who would do such a thing? Crazy question I know…
Hey TT you misspelled Communist Democrats….