Apple CEO Tim Cook declared in January that 2015 would be the "year of Apple Pay." Despite the bold announcement, however, the online payment service has seen sluggish growth domestically, prompting Apple to start looking at other markets around the world. In 2016, Apple Pay is taking on Asia and Europe, according to Bloomberg Business.
Apple has chosen markets where people are already comfortable with contactless payments. Counting on its international brand recognition, the tech giant is hoping to claim a significant portion of a market that is dominated by local banks, Internet companies, and most notably, Samsung Pay.
In China, Apple will be taking on longtime heavyweights WeChat from Tencent Holdings and Alipay from Alibaba Group Holding Ltd., which dominate the wireless mobile payment arena with more than a 75 percent market share in the country, reports Yahoo! Finance.
Apple, however, has already taken steps to even out the playing field. Stating that the service will be made available in China in early 2016, Apple has also announced last week that it is partnering with Chinese bank-card association UnionPay.
In Europe, Apple Pay has been adopted quite well, especially due to merchants such as Pret A Manger and Twickenham Stadium allowing customers to use Apple Pay, as well the the company's strong market share, which is rated by as much as 39.5 percent as of October.
The announcement of Apple Pay's worldwide expansion seemed to be received very well worldwide with the company's shares rising 0.02 percent to $108.59 in pre-market trading on Thursday, according to The Street.
Launching in multiple countries like Hong Kong, China, Singapore and Spain next year, 2016 is looking to be a pivotal year for Apple, indeed.
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