Apple announced today that their new mobile payments solution, Apple Pay, will launch on Monday October 20, alongside the iOS 8.1 update. Apple says over 500 additional banks and dozens of retailers have signed up to support Apple Pay since the original announcement last month.
While only the NFC-enabled iPhone 6 and iPhone 6 Plus can be used to make in-store purchases, (the upcoming Apple Watch will also be NFC able), the iPhone 5s and the new iPad Air 2 and iPad mini 3 will be able to use their built-in Touch ID fingerprint sensors to make online purchases via Apple Pay.
Apple Pay is designed to protect the user’s personal information. It doesn’t collect any transaction information that can be tied back to a user and payment transactions are between the user, the merchant and the user’s bank. Actual card numbers are not stored on the device, instead, a unique Device Account Number is created, encrypted and stored in the Secure Element of the device. The Device Account Number in the Secure Element is walled off from iOS and not backed up to iCloud.
Credit and debit cards from the three major credit card networks – American Express, MasterCard, and Visa – are supported by Apple Pay.
In addition to the 262 Apple retail stores in the US, availability from leading retailers at launch include: Aéropostale, American Eagle Outfitters, Babies”R”Us, BJ’s Wholesale Club, Bloomingdale’s, Champs Sports, Chevron and Texaco retail stores including ExtraMile, Disney Store, Duane Reade, Footaction, Foot Locker, House of Hoops by Foot Locker, Kids Foot Locker, Lady Foot Locker, Macy’s, McDonald’s, Nike, Office Depot, Panera Bread, Petco, RadioShack, RUN by Foot Locker, SIX:02, Sports Authority, SUBWAY, Toys”R”Us, Unleashed by Petco, Walgreens, Wegmans and Whole Foods Market. In addition, many others will add support this year, such as Anthropologie, Free People, Sephora, Staples, Urban Outfitters, Walt Disney Parks and Resorts and more.
Apple Pay will be available in the United States beginning on Monday, October 20, following the release of the iOS 8.1 update. Users should contact their bank to determine their card’s eligibility, some banks may not support all card types. Apple Pay will be available in select retailers and apps in 2014. For more information visit www.apple.com/apple-pay.
