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THE long wait is over, and the iPhone 6 and the larger edition iPhone 6 Plus are here to change the face of the cellular handset market by entering the mobile payment fray.
Both the iPhone 6 and iPhone 6 Plus are likely to be well received in the African market.
A number of people on the continent are already using mobile payment, which is experiencing phenomenal growth. On the other hand, most users are concerned about the security and privacy of wireless payments.
Furthermore, a number of customers in Africa are still using credit and debit cards exposing them to fraud, while most consumers still pay with cash.
Nonetheless, both the iPhone 6 and iPhone 6 Plus smartphones launched in Cupertino by Apple on Tuesday are likely to ‘solve’ these challenges.
Read: Apple launch - as it happened
Apple has introduced Apple Pay, a new category of service that it believes will transform mobile payments through an ‘easy, secure and private way to pay.’ The service will be available on both the iPhone 6 and iPhone 6 Plus. It will also work with the newly-announced Apple Watch, extending Apple Pay to over 200 million owners of iPhone 5, iPhone 5c and iPhone 5s worldwide.
Read: Smartwatch steals show at Apple launch
“Security and privacy is at the core of Apple Pay. When you’re using Apple Pay in a store, restaurant or other merchant, cashiers will no longer see your name, credit card number or security code, helping to reduce the potential for fraud,” said Eddy Cue, Apple’s senior vice-president of internet software and services during the launch of iPhone 6, iPhone 6 Plus and Apple Watch.
“Apple doesn’t collect your purchase history, so we don’t know what you bought, where you bought it or how much you paid for it. And if your iPhone is lost or stolen, you can use Find My iPhone to quickly suspend payments from that device.”
I really believe Apple Pay is truly a game changer for Apple.
The service will be available in the US next month and Apple said on Tuesday that work is under way to take it worldwide in the near future.
Hopefully, Apple will soon launch the service in South Africa and the rest of the continent. The service stood a good chance of taking off in the continent that is hungry for an easy, secure and private way to pay using your mobile phone.
However, I believe Apple Pay will take time to play out in Africa whenever is launched. The main reason could be that the iPhone 6, iPhone 6 Plus and the Apple Watch may be out of reach for many African consumers.
Read: SA deal for iPhone 6
Apple Watch will be available in early 2015 starting at $349.
That said, the inclusion of Apple Pay in iPhone 6, iPhone 6 Plus and in the Apple Watch tickled my fancy as it really brings something new to the mobile payments space.
What will also make Apple Pay a hit in Africa is the fact that potential customers don’t have to fill out lengthy account forms. Furthermore, Apple says: “Card details are kept private and won’t be shared with the online merchant.”
Amazing and stunning design
I must admit that I found the iPhone 6, iPhone 6 Plus and the Apple Watch to be amazing, stunning and sleeker in terms of their designs.
The iPhone 6 has a 4.7-inch Retina HD display, while the larger edition iPhone 6 Plus will have a 5.5-inch Retina HD display. iPhone 6 and iPhone 6 Plus are engineered to be the thinnest ever, delivering a bigger display in a design that is still comfortable to hold and easy to use. Apple Watch introduces a specially designed and engineered Digital Crown that provides an innovative way to scroll, zoom and navigate.
Really Apple has upped its game with these designs and they are likely to give the executives at Samsung, Sony, LG, HTC etc sleepless nights.
Apple is entering the mobile payments market and is declaring that it is there to create a new ecosystem. Put simply, Apple is striving – if not already winning – to suck customers into its well-oiled ecosystem.
In unveiling Apple Pay, Apple CEO Tim Cook said: “We've placed a lot of energy into creating an entirely new payments solution.”
Hopefully, Apple’s foray into mobile payments will result in the establishment of a truly secure wireless payment system.
Furthermore, it should be noted that while Africa offers alluring potential for mobile payments, there have been few success stories.
But the entry of Apple into mobile payments and its possible scrum with its rivals may make mobile payments more lucrative business for cellular handset makers.
The move by Apple is likely to make the mobile payments market more competitive. Hopefully Apple Pay will be introduced to the African market as quickly as possible so that we can use the iPhone 6 and iPhone 6 Plus to pay in an easy, secure and private way.
- Fin24
*Gugu Lourie is a former correspondent for Thomson Reuters, Business Report, Finweek magazine and Fin24 (writing a blog titled 'Googled'). He is the editor of techfinancials.co.za. Views expressed are his own. Follow him on #twitter @LourieGugu.
