Why Apple Pay is on the verge of extinction
Apple Pay, the digital payment system that lets people buy and pay with mobile devices, has been on a slow burn.
The latest figures from the World Bank show just 1.5% of transactions in the mobile payments market were completed by March, the lowest since March 2017, according to data compiled by the bank.
The number of transactions dropped by 9% to 1.8 million in March, according a Reuters analysis.
The decline in transactions came as the bank predicted Apple Pay would reach $1 billion by 2020, with around $900 billion in global payments due in 2020.
Apple Pay has already seen its popularity slide, with many users switching to a rival system called Samsung Pay.
The Bank’s figures suggest many people are using Apple Pay in the absence of a competing alternative, the latest in a string of disappointing figures for the technology that is seen as an evolution of payment technologies from cash to digital.
Apple has said it wants to make payments as easy as possible for businesses, but its system is not widely adopted and remains vulnerable to attacks.
Last month, a hacker used the same attack to disrupt Apple Pay and other similar mobile payments in a similar fashion to that which disrupted Google Wallet.
The Bank’s findings come as the government prepares to launch a nationwide push to develop a universal mobile payments system that can be used by all of the country’s 1.4 billion people.
Apple and Samsung are among the top three mobile payments providers in the world, accounting for more than 90% of the market.