as a Swede myself.. you know about e-cards right?!? you login to your bank and generate a Visa for online-purchases (you set a fixed amount/date up to 24 months...)
Apple says
http://www.apple.com/apple-pay/ "Apple doesn’t save your transaction information. With Apple Pay, your payments are private. Apple doesn’t store the details of your transactions so they can’t be tied back to you"
the same goes for a chip-pin terminal... the purchase is made via Visa and your bank, and will show on your account as 100$ at ICA right?!?
ApplePay can be supersafe for the user, I will not argue against that...
the only competition Apple has in this matter is the way the transaction merchant-cc is handled... and Apple will make a new way of making these transactions, but they will want to get paid
edit: and also using a card (with your name on it) can be safer than "biometric ID" if you have an iPhone 5S you know that a couple of tries with a wet finger forces you to use pin/password... assuming your iPhone or creditcard is lost chip+pin+id (noone ever checks I know) is safer than iPhone+pin
You're a Swede too, cool!
Listen, I agree with you that the European Chip+PIN is going to be harder to displace for Apple than the USA's outdated strip+signature. This is because PIN+Chip is so integrated into the market in Europe, and most of these PoS terminals don't have NFC capabilities. But that doesn't make it more secure.
Pay won't work with your phone's PIN, ONLY with TouchID.
I'm an American Swede, having been born and raised in the USA and lived here in Sweden for 6 years, being a naturalised dual citizen. I use my wife's debit card all the time at ICA for groceries, etc, or at a shopping centre where we split up and I go buy her stuff while she takes care of the kids. She uses mine all the time in the same way. Not once in all my time here have I been asked for ID when using my credit or debit card. As long as the Chip+PIN works, you are never asked any questions, or to submit your card let alone ID for verification. How secure is that?
Pay is infinitely more secure than that, because it is degrees of magnitude harder to fake someone's fingerprint than to steal someone's card and obtain their PIN.
E-cards are such a pain in the butt, I have never even used them. It is comparable to having to log into your internet bank to order a new BankID every time you want to make a purchase.
Lastly, I don't understand what your hang-up is with Apple receiving a small cut of the transaction fee? It has no effect whatsoever on you because the credit card companies are taking it out of their own fees - it is transparent to the vendor and thus to you. Is it some kind of Swedish Jante cultural thing?? Why shouldn't Apple be entitled to some compensation for their invention??
The credit card companies are willing to give this fee to Apple for two reasons.
The first being that it is a more secure payment method that provides a real cost benefit to them. Credit card companies are not stupid. Don't think for a second that they haven't done advanced actuarial calculations showing that they actually save money at this fee level. You can bet your bottom that this fee level was negotiated down from what Apple initially brought to the table.
Secondly, Apple's system keeps the credit card companies and the banks at the center of the transaction. They don't try to hijack the process, like most of the alternative payment services such as PayPal do. This is important to the credit card companies of course, and they are smart to back and fully support a system that maintains this status quo from their point of view. It makes it more convenient than ever to use a credit/debit card, and thus in the long term I think they feel the number of transactions will go up both as people abandon other payment systems that try to bypass them, and as
Pay becomes more widely adopted.
I feel like I am repeating myself now, so I'll be done. (see my post history for the last week
)
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NFC (quickly connecting, payments, file / contact sharing) is fully working on other platforms. It's not a gimmick or just a "tech demo", no matter what some blind Apple enthusiasts try to state.
you're going to have to accept that most people are going to be posting from an American point of view here, and have very little in the way of awareness for what everyday uses we potentially have for NFC here. (although this poster appears to be from Berlin ;-))
In the US, it is pretty much a tech demo gimmick, because you can't use it for that many things, it is not a widely used technology. Compare it to Chip+PIN usage in the US - almost non-existent at the moment.
File and contact sharing shouldn't be on your list, nor should NFC beacons because Apple does that with iBeacons and AirDrop using other tech. Payments, mass transit ticketing, and door access (though some/a lot of this is RFID, not NFC, a common misconception) however, are valid uses for this stuff, and I can't tell you how much I would like to use my iPhone for my commuter train every day instead of having to have yet another plastic card in my wallet.
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Yes, except I thought they wouldn't even use NFC for Pay.
A pure software solution based on the connectivity of bluetooth low energy and cellular, that's what I thought. But I guess that it needs to be near field adds an additional layer of security. If only in the mind of the user to further ensure him, now I'm paying and now I'm not.
They had to use NFC so it would be compatible with existing merchant PoS terminals, especially in the USA. Anything else would have been a DoA solution.
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I won't use Apple's NFC as long as they keep it closed to only Apple solutions. I am tired of Apple making their hardware work only with their Stores, etc.
I haven't used iBooks since they made Kindle take their store out of their app, and I won't support this.
QUIT BEING SO D@MN GREEDY APPLE. Make your systems open.
Your post will be valid the moment there is an official
Pay app for Android and Windows Phone live in their respective stores.
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Visa says they're working to get Apply Pay going in Europe. Sorry, no timetable yet.
In addition, Mastercard/Maestro says that starting Jan 2016, all new terminals in Europe must support NFC payments, and by 2020, all older terminals must be updated as well.
*Snipped the rest even though it was all great!*
Thank you for this well researched and informed post, huge +1 to you. I wasn't even aware Visa/Mastercard had these PoS terminal requirements so short term over here. In that case we might begin to see a surge in
Pay before the iPhone 7 is released.
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Apple has the NFC chip on lock and restricting it to the Apple Pay according to the article I've read this morning. The article said in order to safely conduct transactions, Apple chose this route because money is involved, and if you know anything about Android OS, it is a less secure device than Apple is because their chip is multifunctional. Basically, we have a Tradeoff with the iPhone 6's!
Someone needs to separate this NFC features purchasing transactions and file transfer features. And, don't say it cannot be done. All it takes is for Apple to invest a little more in this idea instead of increasing prices for the same technology that's been out for 2+ years. Nice going
All it would take is for Apple to add a second NFC controller to the device. Then one could be used solely for
Pay, and one for all other implementations. However, it seems unlikely that this would be the only solution to opening up the technology.
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That won't last long once some company files a lawsuit saying it is anti-competitive.
Care to elaborate on that? Again I say, the moment you see
Pay on an Android or WindowsPhone device, that will be the moment your comment is valid.
