Date: Tuesday, January 28th, 2014, 13:40
Category: App Store, Apple, Business, iOS, iPhone, iTunes, Retail Store, security
Apple’s earnings numbers weren’t the only thing that came out of Monday’s call. As is typical, analysts were given the chance to put some questions to CEO Tim Cook. Also typical, Apple’s answers were fairly vague. When asked about Apple’s plans for entering the mobile payment space and how Touch ID technology might be applied, Cook responded;
“[...] we’re seeing that people love being able to buy content—whether it’s music or movies or books, from their iPhone using Touch ID. It’s incredibly simple and easy, and elegant, and it’s clear that there’s a lot of opportunity there.
The mobile payments area in general is one that we’ve been intrigued with. That was one of the thoughts behind Touch ID, but we’re not limiting ourselves just to that. So I don’t have anything specific to announce today. But you can tell by looking at the demographics of our customers, and the amount of commerce that goes through iOS devices versus the competition that it’s a big opportunity on the platform.”
A number of reports have speculated that Apple plans to offer the ability to purchase online and physical items through a user’s iTunes account, which for most iPhone users already has their credit card information. Touch ID would be used as an added layer of security by not exposing the credit card info itself, simply passing off the transaction to iTunes. In the light of the recent hacking of Target’s customer credit card info, along with other similar incidents in the recent past, iPhone users may find mobile payments more appealing. Authorizing transactions with Touch ID then steps in to make payments quick with additional protection of a customer’s information. This could give Apple some leverage to increase the adoption of their iBeacon technology. If you’ve ever used the Apple Store app on your iPhone to buy something at their retail stores, you’ll have a pretty good idea of how it would all work together. Now the only thing you need to do is not feel oddly guilty when you grab a product, scan it with your iPhone, and walk out the door without talking to anyone.