14 DAY TRIAL // Apple seems to be having a difficult time promoting its Apple Pay service in Australia, as the company accuses local banks of delaying or even blocking the expansion of the mobile payment service in the country.
Last year, Australian banks pleaded to have access to the NFC hardware in the iPhone so that existing mobile payment services could be used alongside Apple Pay in the country. Apple refused to grant access to the technology and the banks went to court, and a formal decision is expected this March.
However, Apple criticized Australian banks once again today, Bloomberg reports. According to Apple, Australian banks attempted to “delay or even block” the Apple Pay rollout in the country. Apple says that this action hurts consumers and merchants who wish to use the technology.
Access to NFC in iPhones would undermine security
Apple went on to say that the security and simplicity of the iPhone would be undermined if Australian banks got access to the NFC inside. On the other side, Australian banks say that the goal is to provide customers with real competition, which would facilitate investment and innovation in digital wallet technology.
Apple Pay is supported by American Express and many credit unions in Australia, which is the world’s biggest market for contactless payment technology. Apple Pay is currently provided only on iPhones, and for the new iPhone 7, Apple created a special version of the hardware just for Japan. Apple Pay is also available on the new MacBook Pro with the integrated Touch ID sensor.
Apple Pay has been growing gradually since its launch. A few days ago, Apple announced that the transaction volume increased 500% year over year and the number of users tripled. The mobile payment service is seeing competition from Android Pay and Samsung Pay, while Samsung is expected to announce a lighter version called Samsung Pay Mini, available for many Android-running smartphones.