• case study report Apple pay

Apple Pay is a mobile payment and digital wallet service by Apple Inc.

• What is the background of the company?'

Apple was founded in 1976 by Steve Jobs, Steve Wozniak, and Ronald Wayne to develop and sell Wozniak's Apple I personal computer.
It was incorporated by Jobs and Wozniak as Apple Computer, Inc. in 1977, and sales of its computers, among them the Apple II, grew quickly.
It went public in 1980, to instant financial success. in 2013 service was announced at Apple's iPhone 6 event on September 9, 2014.
At its announcement, Apple CEO Tim Cook described the magnetic stripe card payment process as broken for its reliance on plastic cards'
"outdated and vulnerable magnetic interface", "exposed numbers", and insecure "security codes".
The iOS 8.1 software update accompanying the service's launch activated Apple Pay on compatible devices.
The company announced an API for app developers to build Apple Pay checkout into their apps Apple pay is one of the leading mobile
payments and digital wallet services.

• What do they do?

It allows users to make payments in person, in iOS apps, and on the web.
Initially released on October 20, 2014 It is supported on the iPhone, Apple Watch, iPad, and Mac.
It is not available on any client device that is not made and sold by Apple.
originally developed in 2013 in collaboration with visa, America express and JPMorgan

• Who are their competitors?

The main competitors are:

• google pay
• samsung pay
• payPayPal.
• Stripe Connect.
• Payoneer.
• GoCardless.
• Authorize.net.
• Bolt.
• Paytm Business.
• Skrill.
• venmo
• cashapp

• How does this company use technology to their advantage?

provide users with personal payments using any of apple's devices and provide security on transactions using the EMV Payment Tokenisation Specification as a way
to maintain personal data private from retailers. Tokenization is the process of replacing confidential data with non-confidential data (called "token").
This token data guarantees the same functionality, with the additional characteristic that from the token data itself it is not possible to obtain or infer
the confidential data with which it is related.

• Why are they considered a FinTech company?

The use of advanced technology to provide financial services to consumers and businesses,
to authenticating electronic payments and the introduction of the Apple payment system,
Apples' digital wallet and apple cash helped to establish apple pay as the largest mobile payment system in the US.
defining apple as a major competitor in the fintech ecosystem

• Why is this company exemplary in the FinTech space?

Today, Apple is securing its place as a significant player in the fintech space with Apple Card.
The iPhone offers the Apple’s Wallet app, Apple Pay, and Apple Pay Cash, the Apple credit card is the next logical step.
Apple has partnered with US bank Goldman Sachs to improve the credit card experience by offering a healthier approach to spending.
They’re offering a more transparent list of transactions, organized in an easy to read format, with a more flexible way of
making payments on outstanding balances.

• What are their strengths and weaknesses?

The Closed Ecosystem Many of Apple’s loyal customers see the company’s tightly controlled software and services as a major strength of the company,
as it allows Apple to control all aspects of the devices it produces.
Overall, however, this puts an additional burden on Apple’s development cycle as software, security, and many other details become an in-house responsibility.
On the other hand Payment After shoppers have their credit card stored on the iPhone, they only need to keep the phone near an NFC scanner,
use the iPhone’s Touch ID to accept the purchase using their fingerprint,
and the payment is processed within a few seconds. The approach is easier than the conventional swiping procedure for credit cards,
which normally involves: swiping a card and then choosing debit or credit, providing a different id,
and affixing a signature.

Advantages and Disadvantages of Apple Pay

Advantages of Apply Pay

1. Payment
2. Convenient
3. Secure
4. No Internet Required
5. No Extra Fees
6. Privacy
7. Low Risk

Cons of Apple Pay

1. Software Failure
2. Stability
3. Acceptance and Pop-up Texts
4. Adoption
5. High Fees
6. No Online Shopping Support

• Where do they expect to be in the future?

Mobile wallets are catching up with cash, even in the US.
In 2020, 10% of spending at points of sale (cash tills) made use of a digital or mobile wallet such as Apple Pay.
In comparison, 11.9% of such transactions took place in cash, so the use of contactless mobile payments is clearly catching up.
(In Canada, cash was used for just 5.4% of transactions.) These are global trends. Worldwide use of cash has dropped 42% since 2019.
Cash will soon be the least used traditional payment method, the report said.
By 2025, Apple Pay will account for 10% of global card transactions, according to research firm Bernstein as reported by Quartz on Tuesday.
The mobile payment feature currently accounts for about 5% of credit card transactions, according to the report.

links:

[apple pay is a fintech] (https://www.mobilegeeks.com/article/apple-is-a-fintech-company-what-you-need-to-know/)

[token] (https://www.advantio.com/blog/heres-how-google-pay-apple-pay-samsung-pay-protect-your-card-details)

[wikkipedia] (https://en.wikipedia.org/wiki/Apple_Pay)

[future of apple pay] (https://www.computerworld.com/article/3609452/driven-by-pandemic-the-us-enters-the-world-of-apple-pay.html)

[2025] (https://www.cnet.com/tech/mobile/apple-pay-may-make-up-10-of-card-transactions-by-2025-analyst-says/)

Contributor: Fabrice salomon, Francis Ocran, Oscar Lopez and Diego Torres