With iOS 11, Apple has introduced peer-to-peer payment support in Apple Pay for all iPhone users. Up until now, Venmo — owned by PayPal — has remained among the most popular peer-to-peer payments app across all major smartphones. However, with Apple Pay supporting P2P payments, that position is clearly under threat.
Now, in an interview with The Telegraph, PayPal’s CEO Dan Schulman has made it clear that the chances of Apple Pay’s P2P payment support being successful are slim. The CEO says that since Venmo is platform agnostic and available across all major problems, it has a “powerful advantage” over Apple Pay’s P2P feature. Apple Pay is only available on the iPhone 6 and higher, with P2P supporting being added through an Apple Pay app inside iMessage.
“We own the full value proposition, Apple can never do that because they don’t do the risk associated with it, they don’t do the onboarding, they can only provide what they hope is a good user interface. We try to provide that end to end value proposition and very importantly we do it across operating systems.”
Additionally, Schulman highlighted that unlike Apple Pay, PayPal controls a majority of the payment process in P2P payment like customer protection and risk assessment which can be helpful if things go wrong. Similarly, while Venmo works with any bank or credit/debit card, P2P payments in Apple Pay will be limited to credit cards supported by the mobile payment service.
Apple Pay will be going P2P payments support when iOS 11 lands later this year. It will allow iPhone users to send payments directly from within the Messages app to each other. The money received will be credited to an Apple Pay Cash account that can be used at any retail store for purchases.
[Via and Image Source The Telegraph]Like this post? Share it!