Tag Archives: Apple

For Apple, Payments is just the middle chapter

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Despite sharing much perspective over the last few years on NFC, HCE, Tokenization and rest – I had not been an ardent fan when it came to Apple and NFC – going back to iPhone5. Simply put – it was not a scenario that made sense if you were Apple, when in my view – success depended on re-alignment of business models that have skewed towards networks and issuers over decades. Evaluating what I knew then to be true – I arrived at the belief that traditional NFC payments will find no backers in Cupertino. And thus – in the first part of my two part Apple piece – I referenced to Apple’s likely (pragmatic) approach to NFC: Continue reading

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Apple in Payments: Bluetooth Edition

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This is the Part II of my Apple in Payments take – and it’s early because of the leak last week around Apple’s MFi program. In the first half of my take, I had touched upon Apple’s program for 3rd party hardware attachment market as being significant and likely to be a key aspect of its payments approach. So below, I will cover more on the approach, how Bluetooth will be the standard of choice – not NFC, and how Apple plans to secure Bluetooth enough to be able to handle payments. Continue reading

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Apple in Payments – A Disruptor’s dilemma

signatureThis post is an attempt to look beyond what the presence or absence of any specific radio in iPhone6 may mean to Apple’s intent in Payments and instead – provide some color around three things that are part of this debate: a) Bring 800M credit cards on file in perspective b) Address the question of radios on the device – a topic that has a disproportionate share of the debate and finally c) Consideration of steps made by Apple to secure both iOS and its devices as waypoints in its payments journey. Oh wait, that last one is not part of the Apple payments debate today. I believe it should be. Read on to see why. Continue reading

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Tokens and Traditionalists

Stop-Hating_1066824Two recent comments led to this post. One is by David Marcus of Paypal who long held fast to his belief that NFC based payments had high barriers to entry – cost, complexity while offering very little upside. Paypal’s position on NFC (Not For Commerce) had always been a bit zealous – understandable as in a world of Secure Elements – Paypal (and many others) could not meaningfully participate. But Marcus’s recent post is an attempt to view NFC/HCE as one of the three trends that could transform the retail payment experience – is a pragmatic view to a complex and heterogeneous retail environment. Marcus speaks on how Paypal has come to adopt a cautiously optimistic view of NFC/HCE, now that there are no gatekeepers extracting a toll and because HCE (thanks to SimplyTapp) finally offers a level playing field in the Android ecosystem. Continue reading

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Host Card Emulation: NFC’s Tale of Redemption

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When I wrote about Host Card Emulation back in March, it provoked much debate around whether this capability will die on the cutting floor or be meaningfully integrated in to a future Android iteration. And now that it has, this post is an attempt to look forward, even though much of it is speculative. But I will provide some perspective from a number of conversations I had in the last week with Networks, Issuers, TSMs, Merchants, Platform Owners and EMV practitioners and provide some insight in to perceptions, impacts and the road ahead for NFC. And I will provide some context to why HCE matters to each of these players. Continue reading

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Smoke is rising from Apple’s conclave

conclave_smokesTL;DR Read within as to how Touch ID is made possible via ARM’s TrustZone/TEE, and why this matters in the context of the coming Apple’s identity framework. Also I explain why primary/co-processor combos are here to stay. I believe that eventually, Touch ID has a payments angle – but focusing on e-commerce before retail. Carriers will weep over a lost opportunity while through Touch ID, we have front row seats to Apple’s enterprise strategy, its payment strategy and beyond all – the future direction of its computing platform. Read on… Continue reading

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Return of NFC: Curse of the Secure Element

Return of NFCThis post is in response to the recent Bankinter story of NFC payments at the point-of-sale without requiring SE – and the lack of any real detail around how it plans to achieve that goal. I am not privy to Bankinter’s plan to dis-intermediate the SE, but as I know a wee bit about how NFC works, I thought a post would help in clearing up any ambiguity as to how Card emulation and Host Card emulation differs, upsides, challenges – the whole lot. Continue reading

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Isis, It’s not you…It’s your business model.

It’s good to be back. Quick update, in case you missed it in three different places: I am now focusing on Mobile Payments and Banking as part of Experian’s Global Consulting Practice, which offers me myriad opportunities to see up close why banking and payments in particular remain spectacularly oblivious of the creeping threats of disruption. But today, I couldn’t have found a more better topic to wet my parched throat than the story of the comeback kid – Google Wallet. Continue reading

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iPhone 5, NFC & iWallet – Pick Any Two

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Being on Week 3 of a self imposed Google Wallet embargo, I had instead been writing about the ongoing turf wars between Platform providers and Carriers, which is starting to sound like an episode of ‘Mob Wives’. Though the bulk of it was to be focused on Android, it became impossible to ignore rumors around iPhone 5 and NFC. Now that iPhone 5 is a mere couple of quarters away, the rumor-mill has started to churn yet again on the possible inclusion of NFC along with iWallet – Apple’s own mobile wallet initiative. Most of these indicate that an Apple mobile wallet initiative equipped with NFC is a sure bet. I on the other hand (and ever the doubting Thomas) – am not so sure. For the rest of this post I shall lay out reasons why I believe NFC and iWallet are far from a sure bet to be included in iPhone 5. Along with it comes the caveat that my Crystal Palantir that helps me see in to Infinite Loop, Cupertino has malfunctioned, which has left me equally in the dark as to what Apple may choose to do in Q4 2012. Whatever happens, I have attempted to paint the broad outlines of an Apple mobile wallet strategy, regardless of it being proximity or cloud based. Continue reading

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