apple_pay_thumbWhile Apple Pay has yet to expand to any markets outside of the United States, rumors have suggested international expansions could begin in the relatively near future. One of those possible markets is China, with the first iOS 8.3 beta seeded to developers last week building in Apple Pay support for China UnionPay.

According to a new report from Caixin [via MarketWatch], however, talks have stalled as Chinese financial institutions remain wary of Apple Pay and Apple has yet to approach regulators about gaining approval for the service.

"Apple is seeking to cooperate with Chinese financial institutions" including banks for the use of Apple Pay, a People's Bank of China (PBOC) official said.

At the same time, the American company has not yet "acknowledged regulators" and as a result "it's unclear whether the product meets the government's requirements" for a commercial operation.

Apple is also struggling with its relationship with UnionPay, China's state-owned credit and debit card system operator. Sources close to the companies said that talks aimed at an agreement that would open China to Apple Pay have stalled.

On the regulatory side, the NFC chips used in the iPhone are said to not fully comply with Chinese technical standards, while regulators are also insisting Apple open a data center in mainland China to manage customer information linked to Apple Pay in that country.

On the institutional side, China UnionPay is reportedly wary of losing some of its grip on the mobile payments market, as the organization currently controls the only NFC payments system in use in China. UnionPay's control of the market has also thwarted Alibaba's Alipay unit, which has so far proven unwilling to pay fees demanded by UnionPay for tapping into the UnionPay payment network.

China has been a major market for Apple in recent years, with Apple CEO Tim Cook highlighting the company's efforts to understand and address that market at a Goldman Sachs conference just last week. Those efforts have led to an explosion in revenue, moving from $1 billion to $38 billion over the last five years as Apple has expanded carrier partnerships, points of sale, and other relationships to establish a strong foothold in the rapidly growing market.

Related Roundup: Apple Pay

Top Rated Comments

HiRez Avatar
84 months ago
Is there ANYTHING regarding China that doesn't involve "roadblocks"? :rolleyes:
Score: 12 Votes (Like | Disagree)
chocolaterabbit Avatar
84 months ago
China! The Communist government wants control over the people! They want to know their every move so thus control!! Absolutely amazing people still put up with this sh**!!

That's not so different from what the NSA does, and yet people seem to put up with it.
Score: 3 Votes (Like | Disagree)
ricci Avatar
84 months ago
China! The Communist government wants control over the people! They want to know their every move so thus control!! Absolutely amazing people still put up with this sh**!!
Score: 3 Votes (Like | Disagree)
Plutonius Avatar
84 months ago
That's not so different from what the NSA does, and yet people seem to put up with it.

You actually believe it's the same ???
Score: 2 Votes (Like | Disagree)
mr.steevo Avatar
84 months ago
Apple pay is the beginning of the end of cash deals and avoiding sales tax.
Score: 2 Votes (Like | Disagree)
kaldezar Avatar
84 months ago
China! The Communist government wants control over the people! They want to know their every move so thus control!! Absolutely amazing people still put up with this sh**!!
Unlike the US government which has no control over it's citizens?:)
And americans seem oblivious to this?:)
Score: 1 Votes (Like | Disagree)

Top Stories

nothing ear 1 buds 1

Nothing 'Ear (1)' True Wireless Earbuds Launch to Take on AirPods Pro With ANC and Unusual Design for $99

Tuesday July 27, 2021 7:57 am PDT by
Nothing, a new brand from OnePlus founder Carl Pei, has today officially launched the "Ear (1)" true wireless earbuds after months of anticipation around the company's AirPods Pro rival. The Ear (1) features an in-ear design, Active Noise Cancelation, Bluetooth 5.2, IPX4 water resistance, and a charging case with Qi-compatible wireless charging and a USB-C port. Fast pairing is supported on...
iOS 14 on iPhone feature emergency

Apple Releases iOS and iPadOS 14.7.1 With Fix for Touch ID Apple Watch Bug

Monday July 26, 2021 9:48 am PDT by
Apple today released iOS and iPadOS 14.7.1, minor bug fix updates that come just a week after the release of iOS 14.7, software that introduced new Apple Card features and support for the MagSafe Battery Pack. The iOS and iPadOS 14.7.1 updates can be downloaded for free and the software is available on all eligible devices over-the-air in the Settings app. To access the new software, go to...
iPad mini pro feature 2

iPad Mini 6 to Feature 8.3-Inch Display With No Home Button and Narrower Bezels

Monday July 26, 2021 12:26 pm PDT by
The sixth-generation iPad mini that's in the works will have an 8.3-inch display, according to display analyst Ross Young. That will be larger than the current 7.9-inch display, with the larger size due to the removal of the Home button and a narrower bezel design. Rumors about the iPad mini 6 have been picking up in recent weeks ahead of its prospective launch this fall. Apple analyst...
iphone 12 pro gold

Report: iPhone 14 Pro Models to Feature Tough Titanium Alloy Chassis

Monday July 26, 2021 1:12 am PDT by
Next year's "iPhone 14" series is expected to feature high-end models with a new titanium alloy chassis design, claims a new investors report by JP Morgan Chase. According to the report, the use of titanium alloy will be one of the biggest changes to the case design in the 2022 iPhone series, and Foxconn will be the exclusive manufacturer of the titanium frames for the high-end models....
iOS 15 General Feature Purple

Everything New in iOS 15 Beta 4: Safari Tweaks, MagSafe Battery Pack Support, Notification Updates and More

Tuesday July 27, 2021 11:47 am PDT by
Apple today released the fourth betas of iOS 15 and iPadOS 15, introducing additional refinements to the new features that are coming in the software updates. In these betas, Apple has introduced changes for Safari, Notifications, Focus mode, and more. Safari Updates Apple is continuing to refine the design of Safari on the iPhone, and in iOS 15, there are tweaks to improve usability. ...
apple mac business page

Apple Shares 11 Reasons Why Business Users Should Choose Macs

Monday July 26, 2021 11:35 am PDT by
Apple today updated its Apple at Work website with a new section dedicated to the Mac, which offers up 11 reasons why "Mac means business." On the webpage, Apple highlights the M1 chip as the number one reason why business users should choose a Mac, offering up an M1 overview [PDF] that explains the benefits of the M1 chip. The information isn't new, but it does provide a look at all of...
imac with accessories

Larger Redesigned High-End iMac Rumored to Launch Next Year

Monday July 26, 2021 3:45 am PDT by
Apple's larger redesigned iMac will arrive sometime in 2022 rather than later this year, according to the leaker known as "Dylandkt." On Twitter, Dylandkt claimed that Apple's "high end iMac" is not expected to release in the fourth quarter of 2021 alongside Apple's "M1X Macs" – a reference to Apple's redesigned MacBook Pro models – because "Apple simply does not want their devices to...
General iOS 14

iOS 14.7.1 and macOS Big Sur 11.5.1 Patch Security Vulnerability That May Have Been Actively Exploited

Monday July 26, 2021 11:55 am PDT by
Apple today released unexpected iOS 14.7.1 and iPadOS 14.7.1 updates to the public, and according to a newly released support document, the software addresses a serious security vulnerability that may have been exploited in the wild. Apple says that an application may have been able to execute arbitrary code with kernel privileges due to a memory corruption issue. "Apple is aware of a report ...
apple bitcoin hack

Is Apple Really Buying Bitcoin?

Monday July 26, 2021 3:07 am PDT by
A large number of websites and posts on social media are stoking rumors that Apple has purchased $2.5 billion worth of bitcoin in the company's first move into cryptocurrency, but is there any validity to the claims? Many people are citing the fact that Apple was looking for a Business Development Manager with experience in alternative payments, including cryptocurrency, earlier this year as ...
new m1 chip

Tim Cook on Apple Deciding to Manufacture Components: 'We Ask Ourselves If We Can Do Something Better'

Tuesday July 27, 2021 3:04 pm PDT by
During today's earnings call for the third fiscal quarter of 2021 (second calendar quarter), Apple CEO Tim Cook was asked how Apple decides what components to purchase and what components to develop, and Cook said that Apple asks if it can be done better. We ask ourselves if we can do something better. If we can deliver a better product. If we can buy something in the market and it's great...