Investors and consumers might think Apple Pay is a game changer
for the cash register. But new research shows there’s plenty of
reason why Apple’s effort to dominate payments may not be as
magical as some believe.
Apple Pay contains a variety of major shortcomings that will
likely limit its ability to be the dominant form of payment in the
future, according to a UBS note released to clients this week by
analyst Steven Milunovich, quoting payments expert Richard Crone
at Crone Consulting. The problems with Apple Pay stem from
technical shortcomings of the system relative to other
alternatives and the large fees Apple plans to charge, which banks
will be eager to escape, the report says.
Filed in the pantry for future claim chowder.