In October 2014, Apple launched its highly anticipated mobile wallet solution, Apple Pay. Although the ability to make purchases through a smartphone app was not a brand-new concept, the business world viewed Apple Pay as the product that would finally push near-field communication (NFC) and contactless payment technology to the forefront of retail.
“Apple raised visibility [of payments as] something you can and should be able to do with a mobile device,” said Gregory Mann, chief marketing officer of mobile wallet solution LoopPay. “It took the conversation out of B2B partners … and brought it to consumers’ dining room tables. The average person out there [now knows] this is something you can do with your phone.”
Go ahead and forget your wallet. Apple’s new mobile payment system, Apple Pay, launches today Oct. 20, and while some have questioned whether the technology is safe, security experts say it may actually be safer than swiping your credit or debit card.
Apple Pay lets iPhone 6 and iPhone 6 Plus users make purchases in stores with their smartphones, using near-field communication NFC technology. A tiny antennain the phone transmits encrypted credit card data without consumers having to swipe their card.
NFC technology isn’t new; it’s used to make mobile payments from Android phones with apps like Google Wallet and Softcard. But Apple’s mobile wallet might be more secure than those other options, according to Martin Ferenczi, the North American president of Oberthur Technologies, a French electronics security company.