In a significant move for the payment sector and the way small businesses accept transactions, Apple is set to allow firms to accept payments directly onto their phone, according to a report from Bloomberg.
It’s a move that has been strengthened by the group’s acquisition of Mobeewave and marks a key step in big tech focusing on the payment journey.
According to the report, the expansion of their offering may come in the form of a software update in the coming months as the completed version of iOS 15.4 looms on the horizon.
Brad Hyett, CEO of Phos praised the move as he stated: “One of the biggest challenges to the widespread adoption of software point of sale (SoftPoS), the technology that enables merchants to accept card payments directly on their phone or mobile device, is that up until now, it was not supported by iOS operating systems. It is great to see that the tech giant, through its acquisition of Mobeewave, address this demand in the market. This appetite is only going to grow as consumers continue to turn their back on cash in favour of contactless payments.
“With Apple entering the SoftPoS space, this validates the technology and will put further pressure on the traditional POS manufacturers who have failed to successfully address the SME market. It is important to note that Apple currently represents around 30% of market share, while Android remains the dominant OS.”
He went on to underline how the move could evolve the payment ecosystem, at a time when it is constantly growing and adapting to a new breed to user.
“Expectations of what a business will look like in the future have changed fundamentally. With the rise of covidpreneurs over the last 18 months, there’s been a global surge in sole traders who are choosing more fulfilling employment over a steady paycheck,” added Hyett.
“This shift in the makeup of the global economy is driving the rise of an ‘application marketplace’, whereby business functions are increasingly moving onto the mobile devices of business owners. That is, these new market entrepreneurs are increasingly running their business out of a tablet or mobile device, rather than traditional PCs and other legacy systems.
“Mobile devices are becoming the core hardware estate for businesses across a range of verticals. For example, in the transport sector, taxis are now using tablets to run in-ride advertisements as well as accept contactless payments. These all-in-one solutions are powered by software point of sale (SoftPoS) technology, streamlining hardware estate to deliver more functions on fewer devices. This reduces costs for merchants by helping them sell more while also offering a cheaper alternative to traditional payment terminals.”