INSUBCONTINENT EXCLUSIVE:
Longtime Apple Pay holdout CVS will finally be adding support for Apple mobile payments platform this fall, along with 7-Eleven, Apple CEO
Tim Cook said this afternoon on the company earnings call
The news is particularly notable because CVS was one of the first major retailers to snub Apple Pay, choosing instead to launch its own
barcode-based mobile payments solution &CVS Pay& back in 2016, following the failure of the retailer-backed Apple Pay rival CurrentC.
CVS
Pay had become the first mobile payments solution the pharmacy chain adopted, after having purposefully avoided support for Apple Pay or any
other rival NFC (tap to pay) technologies at its register
The company believed there was value in offering its own end-to-end solution to customers that combined both payments and loyalty, it had
said.
In addition, CVS had earlier backed an Apple Pay alternative called CurrentC, which was developed by the merchant consortium MCX, led
by major retailers like Walmart, Best Buy, Rite Aid and others
The QR code-based payments solution was designed to challenge Apple potential dominance in mobile payments
Many of the retailers even blocked Apple Pay at their stores in advance of bringing CurrentC to market.
However, CurrentC eventually failed
and the technology was sold off to JPMorgan Chase in 2017
Some of its backers — like Best Buy and Rite Aid — had also relented, by allowing Apple Pay into their stores
It instead moved forward with its own solution.
That it has now decided to also support Apple Pay is a major win for Apple, as is the
addition of 7-Eleven to the list of retailers that will soon offer Apple Pay at checkout.
The retail expansions weren''t the only big Apple
Pay news announced on the call.
Cook also said that Apple Pay would launch in Germany — but didn''t offer a timeframe for this launch
beyond &later this year.& And he noted that Apple Pay saw more than 1 billion transactions in the third quarter of 2018
That triple the number from a year ago, and more mobile transactions than Square and PayPal, he noted.
The news follows a new
forecastreleased by Juniper Research which now estimates Apple Pay will account for 1 in 2 contactless mobile wallet users (in OEM-provided
wallets) by 2020.
With its expansions, Apple Pay global traction is growing
The service is now live in 24 markets worldwide, with more than 4,900 bank partners
Apple Pay will also go live on eBay in the United States , Cook said, as previously announced by eBay last week.
