Apple acquires Mobeewave to pursue contactless payment

Reports recently confirmed that tech giant Apple had finalized its acquisition of Mobeewave in a bid to strengthen its contactless payment platform.

Apple is reportedly paying US$100 million for the acquisition. While this might sound like a huge price, the tech giant is seriously pursuing contactless payment.

According to people with inside information of the deal, the tech giant will retain the Mobeewave team. The team will also continue its operation in their base in Montreal.

A huge push for contactless payment

In a statement following the acquisition, an Apple spokesperson said:

“Apple buys smaller technology companies from time to time and we generally do not discuss our purpose or plans.”

It is important to note that Mobeewave has previously reached a deal with South Korean tech giant Samsung. Based on recent developments, that deal may have ended.

There are a lot of speculations as to what Mobeewave will bring into the table. Since the firm works primarily on contactless payment, there are speculations it has something to do with Apple Pay. The tech giant did not provide any details to its plan with Mobeewave.

However, there are multiple hints with regards to what Mobeewave will be working on. Before the official release of iOS 14, a code audit revealed that Apple Pay would support QR codes. The code hints that users can use their iPhone camera to pay for various purchases.

There is also the possibility that iPhones can generate their QR code, which shops can scan to transfer payment. The same technology can also be used when doing user to user transactions.

A move towards China

In China, contactless payment is huge. The most common means of money transfer in the country is through QR code. Shops usually generate QR code, which users can scan, and it automatically processes the transaction.

Despite the popularity of contactless payment in China, not a lot of outside companies have penetrated it. It is true that Samsung and Apple devices are popular in the country, but their payment platforms are relatively unknown. In this particular aspect is where technology from Mobeewave will come into form.

If the iPhone-maker can establish a contactless payment platform in China, it will be huge. Add to the fact that iPhones are very popular in the country, and the possibility is endless.

Whatever Apple has in store for Mobeewave, all the hints point to a potential contactless payment platform.

Featured image courtesy of Christiann Koepke/Unsplash

Micky is a news site and does not provide trading, investing, or other financial advice. By using this website, you affirm that you have read and agree to abide by our Terms and Conditions.
Micky readers - you can get a 10% discount on trading fees on FTX and Binance when you sign up using the links above.