Apple Pay Expected to Launch in China by February 2016

Apple-Pay-250x434 (1) copyApple plans to launch Apple Pay in mainland China before the weeklong Spring Festival starting February 8, 2016, also known as the Chinese New Year, according to The Wall Street Journal.

The report claims Apple recently reached deals with China's big four state-run banks to launch Apple Pay, but the iPhone maker could still face regulatory hurdles in the country.

China's big four state-run commercial banks include the Bank of China, China Construction Bank, Industrial and Commercial Bank of China and Agricultural Bank of China.

Alipay and Tenpay are currently the two largest electronic payment platforms in China, with nearly 64% combined market share, according to the report, citing research firm Analysys.

China's only interbank network UnionPay holds a monopoly on the country's credit and debit card processing, effectively blocking MasterCard and Visa. The state-run organization does offer some credit cards affiliated with American Express, MasterCard or Visa for use abroad.

One Chinese developer who has seen the latest beta version of Apple’s mobile-operating system said logos for China’s UnionPay can be found within the package. China UnionPay Co. press officials didn’t respond to requests for comment.

Apple is committed to an international expansion of Apple Pay, having launched the mobile payments service in Australia and Canada last week in partnership with American Express. Apple Pay is also coming to Hong Kong, Singapore and Spain in 2016.

China has also been an oft-rumored candidate for Apple Pay. Apple CEO Tim Cook told Chinese news agency Xinhua in May that Apple "very much want to get Apple Pay in China," adding that he is "very bullish on Apple Pay in China."

Apple has registered an entity in the Shanghai free-trade zone to prepare for the launch of Apple Pay in China, the WSJ previously reported. Apple Technology Service (Shanghai) Ltd. was registered on June 10, per the Shanghai government's company registry.

Related Roundup: Apple Pay
Tag: China

Top Rated Comments

Thunderhawks Avatar
92 months ago
Always amazing how people are upset (seriously?) about something that considering how long we live is only a blip in our lives.

Folks, you survived so far without Apple Pay and NFC!

Your Mom still loves you (I hope) and eventually Apple or Google or Samsung or Microsoft Pay will come to you
and be everywhere.

Good things come to those who wait!
Score: 4 Votes (Like | Disagree)
GenesisST Avatar
92 months ago
Pssst.. Apple! Don't forget Visa and Mastercard in Canada, pretty please!
Score: 3 Votes (Like | Disagree)
RimasM Avatar
92 months ago
Yeah. Screw the Europe, launch in China first.
Score: 3 Votes (Like | Disagree)
tmiw Avatar
92 months ago
Always amazing how people are upset (seriously?) about something that considering how long we live is only a blip in our lives.

Folks, you survived so far without Apple Pay and NFC!

Your Mom still loves you (I hope) and eventually Apple or Google or Samsung or Microsoft Pay will come to you
and be everywhere.

Good things come to those who wait!
I think people (at least in the US) expected a seamless experience just like with Apple's other products. Unfortunately it didn't work out that way, partly because Apple didn't expect such a huge backlash by some retailers and partly because the rest simply put off upgrading until the last second. Knowing what they know now, Apple probably would either have purchased LoopPay and included MST in their products to compensate or would have put a far greater emphasis on in-app use of Apple Pay in the US than in-store use for the first year or two.
Score: 3 Votes (Like | Disagree)
appledefenceforce Avatar
92 months ago
Europe is a more capital intensive market, actually, and FYI, by number of inhabitants as well. The GDP is higher than in US. So what's your point?
But Europe doesn't buy as many iPhones as other markets. So Europe can just sit down and wait. :p
Score: 2 Votes (Like | Disagree)
kdarling Avatar
92 months ago
0.15 for every $100 is a big cut? :confused:
In some countries, it's a HUGE cut.

For example, contactless fees in many EU countries such as France are only around 0.22%. The UK, which might be capping theirs soon the same way, is currently 0.65%. Either way, giving Apple 0.15% is impossible to support.

In Canada, the debit card fee is $0.006 (6/10ths of a penny) per transaction. In the US, Apple demands 1/2 cent per debit transaction, or what would be almost the entire Canadian fee.

--

And that's just the tip of the Apple Pay iceberg. Banks also have to pay Visa/MC etc for tokenization services per transaction. For example, MC charges $0.50 for provisioning a token, and $0.025 per token API call.

The banks also have to hire extra help centers for Apple Pay.

Moreover, they have to give Apple constant reports about purchase types and places... information that was formerly proprietary.

--

At least MC and the banks are providing servers and services and comms and fraud handling to earn their per-transaction fee.

OTOH, Apple itself has no such costs during a transaction, since they only provide the device (which they already made a huge profit on). The fee is basically a charge for access to their users (a classic the-customer-is-the-product scenario).
Score: 2 Votes (Like | Disagree)

Popular Stories

iPhone Measure Height

Newer iPhones Allow You to Measure Someone's Height Instantly — Here's How

Saturday December 3, 2022 10:23 am PST by
iPhone 12 Pro and Pro Max, iPhone 13 Pro and Pro Max, and iPhone 14 Pro and Pro Max models feature a LiDAR Scanner next to the rear camera that can be used to measure a person's height instantly in Apple's preinstalled Measure app. To measure a person's height, simply open the Measure app, point your iPhone at the person you want to measure, and make sure they are visible on the screen from...
iOS 16

When Will iOS 16.2 Be Released?

Friday December 2, 2022 2:13 pm PST by
Apple in late October began testing iOS 16.2 and iPadOS 16.2 updates, providing betas to both developers and public beta testers. As of now, we've had four total betas, with the fourth beta having been released earlier this week. iOS 16.2 and iPadOS 16.2 are expected before the end of the year, and we thought we'd try to narrow down the launch timeline. With only four betas released since...
14 vs 16 inch mbp m2 pro and max feature 1

Major RAM Upgrade Coming to Next-Generation MacBook Pro

Friday December 2, 2022 2:03 am PST by
The next-generation MacBook Pro models could feature faster RAM, according to a recent report from a reliable source. MacRumors Forums member "Amethyst," who accurately revealed details about the Mac Studio and Studio Display before those products were announced, recently provided information about Apple's upcoming 14- and 16-inch MacBook Pro models. The new machines are expected to feature...
General iOS 16 Feature Yellow

iOS 16.2 for iPhone Launching This Month With These 8 New Features

Thursday December 1, 2022 8:44 am PST by
Apple plans to publicly release iOS 16.2 for the iPhone in mid-December, according to Bloomberg's Mark Gurman. The update remains in beta testing for now, with at least eight new features and changes already uncovered so far. iOS 16.2 introduces a number of new features, including Apple's new whiteboard app Freeform, two new Lock Screen widgets for Sleep and Medications, the ability to hide...
apple ar headset concept 1

Kuo: Apple Headset Shipments Potentially Delayed Until Second Half of 2023

Sunday December 4, 2022 7:38 am PST by
Mass shipments of Apple's long-rumored AR/VR headset may be delayed until the second half of 2023 due to unspecified "software-related issues," according to the latest information shared today by tech analyst Ming-Chi Kuo. Apple headset render by Ian Zelbo Kuo said mass shipments of components for the headset are still likely to begin in the first half of 2023, but he believes that mass...
Emergency SOS via Satellite iPhone YT

Apple's iPhone 14 Emergency SOS via Satellite Feature Saves Stranded Man in Alaska

Thursday December 1, 2022 4:37 pm PST by
With the launch of iOS 16.1, Apple rolled out a Emergency SOS via Satellite, which is designed to allow iPhone 14 owners to contact emergency services using satellite connectivity when no cellular or WiFi connection is available. The feature was put to the test in Alaska today, when a man became stranded in a rural area. In the early hours of the morning on December 1, Alaska State Troopers ...
iPhone 14 Pro Purple Side Perspective Feature Purple

iPhone 15 Pro Rumored to Have These 5 Exclusive Features

Saturday December 3, 2022 10:55 am PST by
While we're still around nine months away from Apple unveiling the iPhone 15 lineup, rumors already suggest that the higher-end Pro models will have even more exclusive features than usual compared to the standard models next year. There are currently at least five features rumored to be exclusive to iPhone 15 Pro models:A17 chip: iPhone 15 Pro models will be equipped with an A17 Bionic...
top stories 3dec2022

Top Stories: M2 Max Benchmark Leak, iPhone 15 Camera Rumor, and More

Saturday December 3, 2022 6:00 am PST by
With Black Friday and Cyber Week shopping events winding down and the calendar flipping over to December, our attention is starting to turn to 2023 and all of the Apple news we're expecting to see. This week saw an alleged benchmark leak for an "M2 Max" chip expected to make an appearance in upcoming Macs like the MacBook Pro early next year, as well as fresh rumors about the iPhone 15...
android apple fix rcs

Google Again Criticizes Apple for Not Adopting RCS for Messages App: 'Their Texting is Stuck in the 1990s'

Friday December 2, 2022 10:54 am PST by
Google is continuing on with its attempt to convince Apple to adopt the RCS messaging standard, publishing a new "it's time for RCS" blog post. Promoted heavily by Google, RCS or Rich Communication Services is a messaging standard that is designed to replace the current SMS messaging standard. It provides support for higher resolution photos and videos, audio messages, and bigger file sizes, ...
maxresdefault

Can't Get an iPhone 14 Pro? Here's Why You Should Wait for the iPhone 15 Ultra

Monday December 5, 2022 11:44 am PST by
Due to production issues at Apple supplier factories in China, the iPhone 14 Pro and iPhone 14 Pro Max are backordered and basically out of stock at every store. If you were planning to gift or receive an iPhone 14 Pro model for the holidays and didn't already get one, you're basically out of luck because they're gone until late December. Subscribe to the MacRumors YouTube channel for more ...