Well, banks didn't roll out contactless cards to compete with Apple Pay, in Europe contactless cards and other digital wallets have existed since 2008 way before Apple Pay, starting with Mastercard PayPass and Visa PayWave. Maybe not in the U.S. but contactless technology was designed to be used with physical cards, then banks started launching their own virtual cards using the NFC capabilities of Android Phones, later Apple gatekeeped NFC to be used only with the Wallet app, forcing banks to pay the fee, creating Apple Pay.

As consumers, we need to do everything we can to thwart monopolies because neither banks nor tech has our best interests in mind and whomever wins, wins a big chunk of our wallet.

What banks don’t realise is that it’s not just the convenience of tap to pay, it’s the convenience of having your wallet on the device you carry everywhere. I love Apple Pay because it means I can leave my wallet at home and not have to stress about losing it.

This feels like such a US themed video. In the UK, we don’t have the Apple Card, but we’ve literally got app only banks popping up, that basically rely on Apple/Google Pay (for the most part) The way she said “they’re introducing contactless cards”, we’ve had these for eons

I was living in England for a few years and contactless payment was the norm. At restaurants they even brought card scanners to your table. My card would never leave my sight. After coming back to the US I realized how backwards it is when it comes to this technology. In the US, where the server takes your card to the back to scan your card (and with malicious intent write down your card information). I am so excited contactless payment is finally catching up in the US!!

You're missing one big (actually, HUGE) benefit to Apple Pay, your CC number is secure with Apple Pay as it doesn't submit your actual card number! This makes Apple Pay more secure than using your bank/CC institutions card in a transaction. BIG win to Apple for doing this!

Every bank's want's to be a tech company and every tech companies want's to be a bank.

I always forget how far behind the states actually are, in the UK (and many other places in the world) tap to pay cards and Apple Pay/Google Pay is something that's accepted everywhere and is weird when somewhere doesn't accept it. Edit: this has been the norm for almost a decade

One thing you're missing is the fact that banks do not keep the whole interchange fee either. They have to give a portion of it to whichever processing network the transaction was done over. This means that Visa and Mastercard, with their networks, take a fee when it is processed through them. Therefore, they actually only keep ~5-8 cents on a transaction. Then, you add on the fees that Apple and others could take... That is why they're scared.

I know Apple is the dominant player, but I would've liked to know how much of a cut Samsung Pay and Google Pay also took.

Very odd story, considering most of Europe has been contactless for longer than we have. Also, you’re forgetting one important point: Chase quite literally helped develop Apple Pay

I want to point out the big difference between, let’s say the USA and a western European country when it comes to card payments. Firstly tap to pay has been an option for over a decade. Virtually every bank terminal has had the option to tap to pay for ages, Apple and Google password just other options when they came. Also, here in Norway our banks worked together to create a instant payment app where you can pay your friends instantly. But they took this further by giving the option to pay in store with the app and also online.

Back in about 2015 or 2016, I remember being surprised that Apple Pay still didn't takeoff as much as I thought it would. When they announced it at WWDC 2014 I was sure it was going to be a game-changer that was going to succeed specifically since it is built directly into the iPhone. But my goodness, did the pandemic in 2020 really make this thing suddenly take off, with consumers being afraid to increase physical contact by swapping cards between people. I believe we're now in a era where Apple Pay is too big to fail, since 2020 showed people how quick in effortless it is to just which out your phone and hover it over a display for 2 seconds in comparison to digging into you pocket or purse, finding your card, pulling it out, entering it into the terminal, and doing everything in reverse once completed.

0:29 *“absolutely we should be scared shitless about that”* That's a real man's cry right there 😭

Never realised the banks in USA are falling behind in technology like this. In India UPI has made digital wallets irrelevant. Most fintech apps have pivoted towards UPI

About the current bank situation, I'm really concerned. I am worried about a lot more if a bank the size of SVB may fail. I have a friend who manages a fast-growing startup and was severely impacted by the bank run. I have taken more than $840k out of my bank. Since the FDIC only provides coverage up to $250K, an implosion could have negative consequences. presently want to invest in the stock market. Does anyone have any ideas on how I might proceed?Read more

"A computer company ain't just going to walk in and take over the cell phone industry". "An iPod company ain't just going to walk in and take over the Swiss watch industry". A cell phone company ain't just going to walk in and take over the banking industry".

I had to double check the video date! Never realised the banks in USA are falling behind in technology like this. I'm sure they'll catch up eventually. Fortunately for the Americans, tech companies will push development.

I went to Sweden for 2 weeks and paid for everything with Apple Pay on my watch, didn’t even have to get my phone or cards out of my pocket. Apple Pay is far superior to tap to pay cards or a physical card in general. I have the Apple Card and chase cards, I use the chase cards for everything Apple Pay because the rewards are better. So until Apple makes a card with awesome travel rewards, the big banks don’t have anything major to worry about.

I was in europe (The Netherlands and Germany) a few weeks ago and I got blown away by the amount of contactless payment that people used. I live in Brazil and here we have all it takes for this payment to take off, but somewhow people still preffer to use a card instead of a digital wallet. I have never thought to acquire a smartwatch but seeing people paying their bills through a smartwatch is definitely something i dont get to see on daily basis

India has UPI system. Which essentially helps to avoid such monopoly to take over and make sure that a healthy system exists but at the same time allowing providers to innovate on top of the network.

I still find it fascinating that American Banks are still so behind technologically. South African banks are so ahead of the curve

It’s not just Apple Pay. Google Pay is also convenient. Also the fact that we can pay using our Smart Watches using Apple Pay or Google Pay instead of using a card or my phone makes it so much easier when we are rushing around.

I've been waiting for a return for this series for some years.

Good luck to the banks. It's about convenience, and implementation. It's about getting out of gym, work etc. not having to carry your wallet, search in your pockets for it. Signing onto an email, or anything requiring more than a tap is going backwards. Furthermore, you also get a slew of information in the wallet app. The enemy of my enemy, if my friend.

The convenience of Apple Pay cannot be understated! In person: carry all of your cards without any physical bulk of a wallet. Online: super quick and no need to look back and forth at your card number

Wall Street Journal, please slightly raise the volume, i can't hear the audio well with my phone speakers near maximum

Compare this with what India has done with UPI and you will know how far ahead the developing world is moving

I have been using Apple Pay since years and I love it a lot. I started using apple credit card yesterday and I absolutely loved it.

Yeah, the fewer physical items I have to carry around the better. If I can stop carrying my wallet, I'm ALL FOR IT. I think what traditional banks and credit cards need to do is emphasize you can use their digital cards on your phone too.

I think this is also one of the major reasons why Apple is so interested in vehicles and particularly making them self driving. Vehicle financing and potentially uninterrupted screen time.

I believe that it's a good thing to make an experience more customer friendly. & Paypal + ApplePay have improved the system, now banking companies are forced to follow in their footsteps or get left behind. Perhaps they should come up with innovative, client-friendly ways that make them stand out as the better option too

In India we have UPI system where one can transfer money from you wallet/bank account to the recipient. Without any cost to the consumer. The banks are not having any problem, they have released their own version of the system. Only problem will be caused to the credit card companies. Because the their marketshare have decreased due to the system.

The Apple Pay system and its lookalikes only emerged due to the ignorant inefficiencies of banks. They existed to fill a space and now banks are crying foul. It's always a pain to depend on banks to do the right thing, in context, and that's why consumers seek other legitimate and simpler solutions.

I work in a tube station in London, and over the past 5 years I have first hand seen the amount of Apple Pay and Google Pay users go through the roof. At first it was quite niche, was your mainly tech enthusiasts/youngsters. Nowadays it is genuinely used by the masses. But among the masses is a significant proportion of brain dead people, who leave all their eggs in one basket. You'll be amazed at the amount of people who leave their house, with all their access to funds purely on their phones. While yes it's convenient, what happens when your battery dies? You stuck. If you lose your phone ? You stuck. If you get pickpocketed ? You stuck.If the payment systems are down ? You stuck. Moral of the story, any wise person will always carry more than one form of payment.

“….Paze will allow customers to access eligible debit and credit cards by entering an EMAIL…” Email? Really? It’s 2023. This isn’t going to end well for the banks 😂

These payment apps are really nice to use, and actually show me my money usage. This is very helpful, and something I wish my current bank would do. I'm just worried how these apps use our transaction data. Yes, they 'say' that don't do that. But I can't shake the feeling that they are using my data for something else.

This is good for competition and spurs innovation. If it wasn’t for Apple Pay, tap to pay in the US would have never taken off because banks have no reason to improve the checkout process. Also people should recognize that Apple has put billions of dollars behind the hardware to make this all possible and to slowly chip away at the dominance the banks had.

I hear the arguments made in this video, but my loyalty grew even more when I discovered that my existing bank and favorite stores jumped onboard to enable mobile contactless payments. It makes transactions simpler.

Missed the big point for me: NFC & the one-time authorization & pseudo CC number of tap & pay from ifon or watch.

We have had tap (contactless) payments in Canada well before Apple Pay. Basically US banks and consumers were behind the times and Apple saw an opportunity.

Apple Pay is also super secure so I rarely use my card/card info now

The constant improvements in convenience and instances I can use Apple Pay for purchases makes me want to use it. I originally was against it, but having to input my card info all the time got tiring as opposed to scanning my face and paying.

Normalize audio please

Opening the Apple Card was the best decision I ever made. It reflects your balance timely, which means you can pay it off right away. Cash back shows in a minute after purchasing and be ready to use. My Chase card is just stupid 😂 Edit: My Chase card is for beginners, so I understand it will not give much rewards compared to the Sapphire one. I didn't have a credit score back then. However, within 2 years using both Apple card and Chase, Chase didn't raise my credit balance while Apple (Goldman Sach actually) raised my balance twice, and I have 750+ credit score.

In India we have a unified payment interface or UPI. No need to even have a debit or credit card. No hidden charges. Just directly pay from your bank account to merchant’s bank account.

I HATE that Walmart and Lowe’s do not have Apple Pay.

in europe we have had contactless card for maybe over 15 years. And many banks in each countries have their own system so they dont need to pay any fee to mastercard or visa.

One of the reasons you guys should have mentioned for Apple Pay growing so fast is that Apple does not enable NFC functionality for other applications. I hope that European Union will come up with a plan to enforce Apple to enable their NFC for other payment applications as well, not just Apple Pay. Just like they did with USB-C for the sake of their people.

if the banks want to keep going after customers they already have then the answer is simple, they're going to have to offer more points to payments on their own platform, which apple pay doesn't offer. they'll have to do that (effectively incurring an additional expense) to win back market share. If they want to go after new customers, there are only a LOT of very small ponds they'll have to fish from like what say Bilt is doing.

Ever since I’ve understood how Suica and PASMO work in Japan, I’ve started seeing how Apple Pay can cause major problems down the road.

That felt very incomplete. I thought I missed the end and went back to check, and no, it just ends there. Oh well.

The Apple experience is so much better

I won't use a credit card that doesn't work in Apple Pay

My bank here in Italy the first time I setup Apple Pay send me an email explaining that how secure is Apple Pay and that I should use it

We've had contactless cards in Europe for years. I've never had to swipe my card, and I only use chip and pin for large transactions. Apple wallet basically just feels like a contactless card secured within your phone, with an added layer of security as they mask your details and send over a one use digital card instead

I like how organized Apple Pay is easily use my chime and cash app and I been thinking about the card to honestly sound great

The most important thing that should be on everyone mind currently should be to invest in different sources of income that doesn't depend on the government. Especially with the current economic crisis around the word. This is still a good time to invest in various stocks, Gold, silver and digital currencies i'm looking for ways to invest i have about $250,000 in my bank account can't afford foe it to turn to dust...

I’m pretty sure stores tried something similar with currentc and that failed. I doubt page will do well

Incredible video. Thank you!

Govt of India considers this kind of digital infrastructure as national asset and service to nation's growth that's we have UPI which far better than Apple pay

I feel so bad for the banks, how will they possibly deal with losing more of their free money 😂

0:15 digital wallet: apple pay, google pay, and paypal. mostly paying online. 0:40 encroach on the traditional finances territory. 1:30 interchange fee is earned by the bank. merchant fee. 1:55 the bank would instead keep just over nine cents on one small transaction. 2:25 these only make up of 1% of revenue from services that includes things like the App store. 2:40 it's name recognition. 2:50 it's just a slippery slope from there where eventually ... 3:20 it rolls out its own buy now pay later program. 3:55 it doesn't seems so far-fetched. 遙不可及的 4:45 in part because ... 5:00 gain traction 受歡迎程度增加 5:25 many believe that there will be a super app that controls consumer payments and financial services.

Given the choice I only shop places that support Apple Pay, but I still carry my physical cards for the times merchants don’t support tap to pay

Those 1-3% is a tax that can be much lower if banks & visa/mastercard were more efficient. They're earning profits and there's no alternative for the customer for online payments other than to pay this additional sales tax.

meanwhile India's UPI laughing in the corner 😂

get your audio leveling right! I cant hear some parts

The new payment system sound pretty cool now but when you think about it, it’s kind of going to be very scary when eventually they converge into one super app payment system where everything will be centralized and will definitely cause a lot of privacy concerns.

Why do they use terms like "fight" instead of "compete"? We've dumbed down these words so that small things are called fights, while war is called humanitarian relief.

Last week Elon musk talk on BBC News on the importance of investments and how millions of people made billions investing in Digital assets and real estate and he recommended an expert broker Mrs Olivia Fletcher wondering if viewers here are familiar with the name

Strange that seems Big Banks hate on digital wallets, but they choose to accept Apple Pay, so if they don't want to support it, they can always drop support for it so there's my 2 cents.

if memory serves me right, didn't we have tap pay way before NFC payment options on smart phones?

I hope the paze provides more convenience. I don't want a monopoly in this area.

banks don't offer good security, none of them offer 2FA with Security Key option, while tech companies have way more robust 2FA security. if you don't know Security Key, just know it is the most secure form of 2FA, almost impossible to hack. while banks still use email or SMS verification codes...aka the least secure form of 2AF ....

I have never seen a Paze on any merchant's site. Mostly I have seen Apple Pay and PayPal.

In my country Apple Pay got into the game late. Credit companies tried get android users to use their own apps as digital wallet but the experience was soooo bad. So people waited for an official solution form the big companies like Apple and google. If the credit companies knew how how make decent app they would definitely win, at least in my country

I love Apple! Messing with governments (EU and US FBI), messing with other tech giants, messing with banks. They're that annoying person that you enjoy them being annoying just to have a laugh at other annoyed people lol.

I've used and loved Apple Pay for years. Not sure how anyone could make it easier to check out online than with using Apple Pay. Don't have to input any of my info, like shipping address, card info etc. And I just hit my power button twice. Done.

Are those bank fees the reason Samsung quietly removed the Samsung pay feature that let their phones tap on any card reader with a magnetic strip (even terminals without tap to pay)?

Yes, true.

I will keep using  Pay 🎉 don’t even remember when was the last time I use a physical card 😂

It's funny how US can be soo behind the rest of the world in technology sometimes. Even creators of this video think that tap to pay cards were introduced after apple pay... Maybe in USA they were but I don't even remember a time when this was not a standard option (just googled it- first contactless cards were issued in 2007 xD)

Hard to trust something like Paze when Zelle, also owned by a conglomerate of banks, is rampant with scams and near zero support from the banks when consumers seek help.

I think it is not the banks, but visa and mastercard should worry most about it.

In India it's all free! I don't remember last time I took my wallet for shopping

This technology was fully implemented in Canada 15 years ago on credit cards AND debit cards for tap o.O...The US is really slow compare to Canada o.O...I mean just look how fast we got free Healthcare.

he kept it real said yea we should be scared 🤣

SouthEast Asia's battle of the superapps is really interesting to watch, and it gives great context to look at the North American Markets have the same

if Apple can make a card that conceals the card number, CVV, and have your name, why can't other banks do the same. Apple take security very seriously.

I use Apple Pay as often as I can. 2% cash back on every purchase is amazing. 👌🏼

It is good to revitalize online digital payment systems such as Apple Pay, but I think we must also consider the impact they will have on offline banks in the future.

It's mad how the United States is so far behind technologically that contactless payment is still a new concept.

Got Apple Pay on a Tuesday, had my bank-account hacked on Wednesday.

How much did Apple Pay for this video

both. But Depends were I go

To me, the biggest advantage of Apple Pay is the watch. Not having to pull out your card or phone when paying is very convenient.

But Usa is still backwards on contactless payment. Here Europe and in the UK Apple Pay and Google pay is accepted not just Apple Pay

Contacless card payment never works

I try to reach for Apple Pay as much as I can. Actively avoiding merchants that don’t accept it. It’s almost all positive, however there is a few drawbacks from not being able to track a purchase. Such as a return my mom made at Macy’s when she had deleted the email, no receipt in the box, threw the box away, and had no been logged in when ordering but used Apple Pay. As with everything we were able to figure it out due to a good associate but most will give up long before that. The dumbest hurdle I face by far is the lack of uniformity from terminals and understanding from employees. At Dick’s sporting goods I use it Apple Pay for returns when I can but for some reason I have to tap it twice their older terminals don’t work with contactless on returns making me pull out my card and swiping. Other times they have to press a button before it activates despite lighting up the four “dots” or the NFC logo. So there is still ways to go before it is the default payment method but there is no doubt Apple is the reason it has come this far at all.

So basically the US is getting “Interac” that’s been available in Canada for decades. It’s so ubiquitous that we don’t say “debit cards” we say, “do you take Interac or do you take Tap?” (Because you almost always tap your Interac card). Here Interac is the competitor to Apple Pay & Google Pay. Samsung Pay barely exists here.