Is Apple’s new Apple Pay scheme a lethal blow to Android phones and Windows Phone 9?
So Apple had their big reveal yesterday.
They basically introduced the world to their new phones (iPhone 6 and iPhone 6 Plus)and their new watches (Apple Watch).
The IPhone 6
Basically the phones look beautiful and are sure to be best sellers.
The iPhone 6 will be available in two different sizes, both bigger than Apple’s earlier iPhones.
The smaller of the two new iPhone 6 models has a 4.7-inch display, which is still notably bigger than 4-inch screen on the iPhone 5 and 5S that preceded it.
Apple says the new screen has Retina HD resolution, with 1334 x 750 pixels providing 326 pixels per inch for the iPhone 6 and full HD 1980×1024 pixels for the 6 plus.
The iPhone 6 measures 6.9mm thick, making it the thinnest device Apple has ever made. The power button has been moved to the side of the phone to make it easier to reach, even with the iPhone 6’s larger display.
Blah blah blah.. it’s a really good phone. Read the Verge’s Apple roundup for the details.
The iWatch/Apple Watch
The Apple Watch is a new digital watch from Apple.
The key innovation that Apple is touting is a breakthrough in input mechanics, using a Digital Crown on the Watch that can scroll, zoom, and navigate the user interface without obstructing the display.
Apple has designed six different straps and a special mechanism for swapping them around.
The Apple Watch will come in two sizes and three different finishes, and it will include inductive wireless charging.
The glass covering up the Watch is made of sapphire crystal, the hardy scratch-proof material that was speculated to be used in the new iPhone 6 models’ displays.
The Apple Watch has a built-in gyroscope, accelerometer, a heart rate sensor, and a Taptic Engine for input sensing.
The Apple Watch can recognize the difference between a tap and a press, offering another subtle way to make different inputs without needing additional input points or buttons.
There are a ton of features that Apple said their watch has and it will be available early next year.
Once again, blah blah blah…I have my own personal opinion that this watch is overhyped but that’s for another day.
I believe Microsoft’s main problem will be
Apple Pay is Apple’s payment service that will allow both in-store and online mobile payment with a whole bunch of merchants.
Apple is implementing this via an embedded secure element. Credit card credentials can be obtained from existing iTunes accounts, or credit cards can be directly scanned via the iPhone’s camera.
Apple has partnered with Visa, MasterCard and American Express to make Apple Pay happen. Those three vendors cover 83% of all transactions in the United States.
Apple has also signed up an extensive range of merchants to accept Apple Pay including Bloomingdales, Macy’s, Subway, Walgreens, and Whole Foods among others.
Why Apple Pay is a problem for Windows Phone and Android
Everyone has known about NFC for a long time and other vendors have tried to put together a solution for mobile payments for years (including Microsoft).
Those went nowhere.
Now Apple seem to have waited for everyone to fail, learned from the mistakes, done the homework and seem poised to win big time.
See the video below.
The real question is, if Apple Pay is successful and becomes ubiquitous, where does this leave other phone vendors?
Will Apple create Apple Pay mobile clients for other phone vendors with NFC to license for a fee or will Apple simply make this exclusive to iPhones?
If Apple Pay becomes ubiquitous and Microsoft and Android can’t compete, what does this mean for those platforms? It becomes really difficult to market a phone that can’t buy coffee or books or food securely when Apple are rubbing that in your face every day.
If Apple is able to make this an iTunes moment and everyone else is caught flat footed, we may well remember this as the beginning of the end for real smartphone competition.
Yes there is Pandora and Soundcloud but iTunes was the defacto leader (some say still is) for YEARS.
This might be another moment in time.
What do you all think? Is ApplePay a threat to Windows Phone and Android?
Use the comments below…