Tag: china unionpay

Apple teams with China UnionPay to launch new mobile payments service

Apple and China UnionPay partner to boost mobile commerce

Apple has entered into a partnership with China UnionPay concerning a new mobile payments service. This may be a big move for Apple, who has been somewhat cautious with its participation in the mobile commerce field. Apple has been keen to avoid some of the pitfalls that its counterparts have fallen victim to with their own mobile commerce endeavors. In partnering with China UnionPay, Apple may be ready to break into the mobile payments space more aggressively.

New service to facilitate mobile payments at some 3 million locations throughout China

The new service will allow people throughout China to make payments from their iOS devices. Using the service, consumers can make payments at some 3 million “QuickPass” point-of-sale systems that are located throughout China. Apple and China UnionPay are also working together to develop a similar solution that will allow consumers to make mobile purchases in Apple’s physical retail stores operating in China.

Service made to comply with Chinese mobile commerce standards

mobile paymentsThe mobile payments service designed by the two companies complies with the standards issues by the People’s Bank of China. These standards are meant to regulate the growing mobile commerce sector throughout the country, adding stability and security for consumers and businesses alike. All mobile commerce services that are being launched in China are required to adhere to these standards but the standards themselves have been the subject of criticism among consumers and some of the country’s largest e-commerce organizations. The standards had initially placed a limit on how much money people could spend from their mobile devices, which would have significantly hindered the continued growth of mobile commerce throughout the country.

Apple is growing bolder with its mobile plans

Apple is growing more cavalier with its interests in the mobile payments space. The company has been eager to avoid the problems that currently exist in the mobile commerce market, taking time to develop solutions that circumvent these issues or solve them outright. Apple has been somewhat secretive with its plans concerning mobile commerce, but as these plans inch closer to fruition, the company may be growing bolder when it comes to mobile payments.

NFC technology rumored for iPhone 6

Apple may be including Near Field Communication (NFC) tech in its next gen iPhone.

According to a recent report from BrightWire, a New York-based global investment newsier, it is likely that Apple will be adding NFC technology into its next generation iPhone.

Apple has partnered with China UnionPay to incorporate the bankcard firm’s services into Passbook.

The BrightWire report, which obtained information from a “source close to the matter”, revealed the deal that was made between the two companies would enable iPhone users to download the bankcard company’s application to Passbook, giving users the power to make NFC payments on more than 3 million of the bankcard’s “QuickPass” POS machines in China.

The sole domestic bankcard organization and interbank network in China, China UnionPay’s network connects ATMs across the country’s fourteen major banking institutions among others. Presently, China UnionPay is creating a payments system that is consistent with its People’s Bank of China (PBOC) QuickPass standard and is compatible with the iOS platform.

UnionPay and Apple will also work together on developing a mobile payments service separate from the NFC payment. According to the source, the other mobile payment solution from the two companies will be designed for purchasing products in Apple stores.

Apple filed for an NFC technology patent earlier this year.

nfc technolgoy - mobile paymentsMedia reports from earlier this year have said that in January 2014, the company filed for a patent covering NFC technology with the United States Patent and Trademark Office. Some people may find it surprising if Apple incorporates Near Field Communication technology into their iPhone 6, considering back in 2012, Phil Schiller, the company’s head of marketing, stated that NFC was not the clear solution to any current problem at the time.

Last month, Ming-Chi Kuo, KGI Securities’ analyst predicted Apple would incorporate several features into its next gen iPhone, including NFC chips. There has also been news that Apple is looking into developing a mobile payment solution that involves the Touch ID fingerprint sensor, a feature that already exists on the iPhone 5s and is rumored to be included in the iPhone 6, as well. Another speculation that was born after the company filed for a patent in September 2013 is Apple may combine NFC technology and its current fingerprint scanner into the home button.