Apple users and storekeepers will no longer require extra hardware to process contactless payments involving an iPhone, according to a company announcement on Tuesday.
The Cupertino-based tech giant made an announcement on Tuesday, stating that Appple Inc. is expanding the iPhone’s capabilities to accept contactless payments, making it easier for merchants to conduct tap-to-pay transactions without having to buy additional hardware.
As it stands, the iPhone has been used as a contactless way to pay for goods and services since Apple Pay launched in 2014. But it required merchants to have their own point-of-sale hardware in order to accept contactless payments. These payment devices will now be made redundant, thanks to advanced tech.
Now the iPhone will be able to act as a payment terminal itself, without any additional hardware, Apple said. The tap-to-pay feature will use the iPhone’s existing NFC chip that was being used to transmit payments down to a payment terminal. It will be available to developers via an iOS software update this spring.
The feature will only be available on iPhones XS or later, Apple said, and will not be available on iPads. Furthermore, Stripe will be the first point-of-sale company to use the iPhone as a tap-to-pay payment terminal through its Shopify app, Apple said.