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Small businesses will soon be able to accept credit and debit card payments directly through the iPhone’s NFC chip on board without the need for external hardware.
In August 2020, it was reported that Apple bought Mobeewave, a payment technology startup that has developed a method that allows smartphones to be used as mobile payment terminals.
Now it appears that the Cupertino-based technology giant has plans for the technology – allowing small businesses to accept payments directly on their iPhones without any additional hardware, according to Bloomberg.
The move will eliminate the need for third-party hardware, such as Block Inc.’s Square payment systemswhich currently dominates the market.
Instead, small business owners will be able to tap any tap-to-pay credit or debit card on their iPhone so customers can pay them directly. This system will rely on the iPhone’s Near Field Communication (NFC) chip and works similarly to tap-to-pay terminals at gas stations and retail locations.
As Bloomberg points out that it is not clear whether the NFC payment option will be branded as part of Apple Payor as a completely separate service.
Apple has a number of projects that involve payment options. For example, Apple Pay, introduced in 2013, gives customers the ability to tap their iPhone to pay at any service point that accepts NFC payments.
In addition, in 2019 Apple has its own credit card, the Apple cardlaunched in partnership with Goldman Sachs.
