Re: Apple Pay hurdles

On 10/28/14 3:44 AM, Adrian Hope-Bailie wrote:
> The majority of the market commentators believe that MCX is going to 
> go the way of the dodo and that Apple Pay will ultimately be accepted 
> at the tills of these retailers.
>
> The problem MCX have is that they are disabling Apple Pay to promote 
> their own system CurrentC which tries to bypass the card networks by 
> debiting user's chequing accounts directly.
> Why is this a problem?
> 1. The system is poorly designed and a lot harder to use than simply 
> swiping a card.
> 2. As yet their is no incentive for customers to use CurrentC (it's 
> not actually available to use yet) and by the time it launches in 
> early-2015 expect Apple Pay to be able to match any loyalty or coupon 
> system CurrentC offers.
> 3. Apple Pay doesn't share your identity with merchants and Apple 
> doesn't track your spending either. The merchants don'tlike that but 
> surprise surprise, consumers do.
> 4. Consumers like using their credit cards because of the consumer 
> protection tied to it
> 5. Some of the biggest retailers have recently had significant data 
> breaches and yet they expect their customers to use an app that 
> requires them to provide data to the retailer that would give the 
> retailer the ability to debit funds directly from their chequing accounts.
>
> Basically, the MCX retailers are desperate to cut out the card 
> networks (to reduce the fees they pay) but are doing this at the 
> expense of their customers.
> Sounds like a bad idea to me.
>
> Final thought.
> Apple Pay is a token based contactless payment mechanism using 
> biometric security to secure the client. Today it uses tokens that are 
> processed on card networks to authorise the payment against a card.
> If a new better payment mechanism (push based hopefully) becomes 
> popular what is stopping Apple from integrating this into Apple Pay?
> Why is it impossible to imagine that the TouchId can't be used 
> eventually to unlock a locally stored Bitcoin wallet (or similar - the 
> 10 minute clearing on Bitcoin is a problem for b&m sales) and make a 
> payment.

+1

Kingsley
>
> On 28 October 2014 08:46, Anders Rundgren 
> <anders.rundgren.net@gmail.com <mailto:anders.rundgren.net@gmail.com>> 
> wrote:
>
>     http://www.cnet.com/news/apple-caught-in-the-middle-of-feud-between-merchants-credit-card-companies/
>
>     In most EU countries payments using payment cards do not involve
>     the card networks.
>
>     Apple must have overlooked that fact...
>
>     This is why the WebCrypto++ payment demo was designed to be
>     equally suitable for the
>     big credit card networks as for bank-to-bank and ACH transactions.
>
>     Unlike the cards used in the physical world that comes with a
>     credit-card brand as well,
>     you would probably enroll separate virtual cards for reasons like
>     fee differentiation,
>     branding and simply to get a cleaner design.
>
>     Anders
>     https://mobilepki.org/WebCryptoPlusPlus
>
>
>
>


-- 
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Kingsley Idehen 
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