Apple, Paypal Talks Over Apple Pay Soured Due to Samsung Deal

Apple and PayPal were in talks that would potentially have seen PayPal becoming a "preferred payment process" for Apple Pay, reports Bank Innovation, but those talks ended abruptly after PayPal inked a deal with Samsung to allow users to make PayPal payments with the Galaxy S5's fingerprint sensor.

Apple was reportedly so annoyed with the partnership between the two companies that it ended talks with PayPal and even went so far as to exclude PayPal from Apple Pay all together, not listing it as an acceptable payment platform in its developer documentation.

applepayinapps

But while these talks were going on, PayPal went ahead and partnered with Samsung on the Galaxy S5 fingerprint scanner, a move that was reportedly forced onto PayPal by eBay CEO John Donahoe. PayPal's now-former president David Marcus was purportedly categorically against the Samsung deal, knowing that it would jeopardize PayPal's relationship with Apple. Donahoe won the day, however.

Apple and PayPal appear to be in somewhat of a dispute following the introduction of Apple Pay and PayPal's exclusion, with the latter company recently launching an ad campaign that subtly attacks Apple and Apple Pay.

In the advertisement, PayPal alluded to the recent hacking of celebrity iCloud accounts and suggested PayPal was the safer platform for transferring money. Without a deal between the two companies, PayPal is facing significant competition from Apple Pay.

In addition to allowing users to make purchases in retail stores with their phones, Apple Pay also lets users buy items in support apps using a debit or credit card connected with an iTunes account. PayPal works in a very similar way, letting users attach a credit or debit card and then make purchases through the service, alleviating the need to enter credit card details.

Apple has plans to launch Apple Pay in the coming weeks, through an update to iOS 8.

Related Roundup: Apple Pay

Top Rated Comments

realeric Avatar
120 months ago
No need to include paypal. They are not a creditor or a bank. They are just another middle man.
Score: 79 Votes (Like | Disagree)
irnchriz Avatar
120 months ago
Far better to stick with Visa and MasterCard, no banks issue cards from PayPal. Plus, no one wants to pay double fees.
Score: 78 Votes (Like | Disagree)
jlake02 Avatar
120 months ago
Good. Hate Paypal and hope :apple:Pay mostly replaces it entirely.




:apple:
Score: 75 Votes (Like | Disagree)
Orlandoech Avatar
120 months ago
I cannot stand Paypal after they closed my account due to "fraudulent activity" which they refuse to disclose any details to me. The funny part, there were 0 fraudulent transaction on any of my CCs or bank account.

#ScrewPaypal #PayPalSucks.
Score: 55 Votes (Like | Disagree)
dlmart2 Avatar
120 months ago
I hate Paypal and Ebay.
Score: 45 Votes (Like | Disagree)
dannyyankou Avatar
120 months ago
I don't like your new friend so now I'm not gonna play with you anymore... grow up Apple.

You know Steve Jobs probably would've done the exact same thing.
Score: 40 Votes (Like | Disagree)

Popular Stories

iOS 17

iOS 17.2 Will Add These 12 New Features to Your iPhone

Friday December 1, 2023 12:19 pm PST by
iOS 17.2 has been in beta testing for over a month, and it should be released to all users in a few more weeks. The software update includes many new features and changes for iPhones, including the dozen that we have highlighted below. iOS 17.2 is expected to be released to the public in mid-December. To learn about even more features coming in the update, check out our full list. Journal ...
iOS 16 4 Web Push

Apple Confirms Governments Using Push Notifications to Surveil Users

Wednesday December 6, 2023 5:06 am PST by
Unidentified governments are surveilling smartphone users by tracking push notifications that move through Google's and Apple's servers, a US senator warned on Wednesday (via Reuters). In a letter to the Department of Justice, Senator Ron Wyden said foreign officials were demanding the data from the tech giants to track smartphones. The traffic flowing from apps that send push notifications...
airpods pro 2 pink

Apple Releases New AirPods Pro 2 Firmware

Tuesday December 5, 2023 11:28 am PST by
Apple today released new firmware update for both the Lightning and USB-C versions of the AirPods Pro 2. The new firmware is version 6B34, up from the 6B32 firmware introduced in November. Apple does not provide details on what features might be included in the refreshed firmware beyond "bug fixes and other improvements," so it is unclear what's new in the update, but prior software releases ...
Beyond iPhone 13 Better Blue

'All-Screen' iPhone Under-Display Camera Enters Development

Wednesday December 6, 2023 2:03 am PST by
Apple's Korean suppliers have begun developing smartphone under-display cameras (UDC), paving the way for the first iPhone with a true "all-screen" appearance. According to The Elec, LG Innotek has entered the preliminary development of the UDC, which sits under the display and does not result in a visible hole in the panel when the camera is not in use. A UDC differs from a typical front ...
magsafe blue 2

iOS 17.2 Brings Qi2 Support to iPhone 13 and iPhone 14 Models

Tuesday December 5, 2023 11:04 am PST by
The iOS 17.2 update that Apple is set to release to the public in the near future will bring support for the next-generation Qi2 wireless charging standard to the iPhone 13 and iPhone 14 models. Qi2 was mentioned in the release notes for the RC version of the update that came out today. With the addition of support for the new standard, iPhone 13 and iPhone 14 models will work with Qi2...
iphone se 4 modified flag edges

iPhone SE 4 May Reuse Existing iPhone 14 Battery

Wednesday December 6, 2023 1:17 pm PST by
Recently, MacRumors has received details on the battery currently being tested on the upcoming fourth-generation iPhone SE, and the information corroborates previous findings in relation to the device. The iPhone SE 4, known by its device identifier D59, is expected to use the exact same battery found in the base model iPhone 14. Partially assembled prototypes of the next iPhone SE have been ...
airpods pro bulbs

Black Friday Prices Return for AirPods Pro 2 With USB-C, iPad, and More

Tuesday December 5, 2023 7:30 am PST by
Today we're tracking a collection of deals that are matching - or nearly matching - the same all-time low discounts we saw during Black Friday. This includes the AirPods Pro 2 with USB-C, 9th generation iPad, and M1 MacBook Air. Note: MacRumors is an affiliate partner with some of these vendors. When you click a link and make a purchase, we may receive a small payment, which helps us keep the ...
instagram messenger

Instagram and Facebook Messenger Chats to Disconnect This Month

Tuesday December 5, 2023 1:57 am PST by
Meta has revealed plans to end Instagram users' ability to chat with Facebook accounts later this month, rolling back a feature that it introduced over three years ago. In September 2020, Meta (then Facebook) announced it was merging its Facebook Messenger service with Instagram direct messaging, allowing Instagram users to chat with Facebook users and vice versa using the same platform....