Apple to allow iPhones to receive credit cards without additional hardware – Bloomberg News

The new Apple 5G iPhone 12 will be unveiled in the Apple Store as it launches on October 23, 2020 in Brooklyn, New York, USA. REUTERS / Brendan McDermid

January 26, 2010 Apple Inc. (AAPL.O) is planning a new service that will allow small businesses to receive payments directly on their iPhones without any additional hardware, Bloomberg News reported on Wednesday.

For payments accepted on the iPhone, retailers currently use payment terminals on their Bluetooth-connected iOS devices such as Block Inc’s Square payment systems.

The new feature will instead switch the iPhone to a payment terminal, allowing merchants to receive payments on credit card or another iPhone on the back of their device, according to a Bloomberg report.

The system is likely to use a field communication or NFC chip near the iPhone near Apple Pay, the feature said, adding that the feature could be upgraded in the coming months.

The company has been working on the new feature since around 2020, according to the report.

Apple declined to comment on the report when contacted by Reuters.

According to the report, the payment option will be described as part of Apple Pay or it is unclear if the company plans to partner with the payment network for the feature or start it on its own.

Reporting on Akrit Sharma in Bengali; Edited by Shailesh Kuber

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