Apple Pay the newest technological endeavor of Apple Inc. is really fascinating. But the question is Is it going to replace the Credit Cards? The following steps taken by Apple are really promising to do so.
The Resources are with customers and investors
Apple has tied up with the major banks and financial players. But they do not hold the resources wholly. The customers are not ready to embrace this technology. They have security concerns as well about the information theft. This has been magnified with the recent incidents of fraudulent transactions. A recent news article on The Wall Street Journal has illustrated the shortcomings. The data thefts are happening mostly at retailers’ end.
Apple is acting as if the technology will succeed. That is a big assumption and may not be so. The biggest hurdle is the extra payment that needs to be done for the technology. The end-user will be concerned with the above two worrying factors.
Large companies’ growth needs are larger and not satisfied with small markets
The profit of Apple Pay will be insignificant with the current dynamics of Apple Inc. But the good thing is Apple has realized well that this technology has the future. Now it may be an insignificant market but has huge potential for growth.
The response of Apple is the same harnessing response and setting up of a separate division. Apple too acknowledges it to be a disruptive technology at the moment.
Non existing Markets cannot be analyzed
At present the market for Apple Pay is very limited. The company has done research but it is limited as it completely new technology.
However Apple is proactive in this case and has a separate group of people looking after the matter. They also have a department which is looking after the failure aspect of the technology. So, the way it is being handled, it is sure to succeed.