Apple Pay in South Korea has been accepted by the financial authority following years of consultations with local officials, opening the way for the mobile payment system to go live in the first half of this year (via The Korea Herald).
Apple Pay Feature
The Financial Services Commission (FSC) stated in a release that credit card companies might advocate for the deployment of the Apple Pay service as long as they comply with applicable rules and regulations and their interpretations.
The FSC called for measures to enhance customer safety from risks, including the theft of personal information, while emphasizing that credit card companies should not shift fees associated with using Apple Pay to users or merchants.
Market observers initially anticipated the service’s debut in the latter part of last year. However, the article claims that current estimates place the introduction of Apple Pay towards the middle of this year’s first half.
In 2017, preliminary talks on introducing Apple’s digital payment platform to the nation started. Even so, Apple had trouble becoming a registered operator of an electronic financial firm. Regulators also examined whether Apple Pay violates national or state laws or regulations.
The requirement for widespread NFC terminal adoption in retail outlets at the time in South Korea caused negotiations surrounding a potential launch to encounter additional technical difficulties.
Although the prevalence of Samsung handsets in the nation has allowed Samsung Pay to overtake other payment options, adoption has increased since that time. Thus, it is anticipated that the introduction of Apple Pay will increase competition in the domestic mobile payment sector.
Since its introduction in the United States in 2014, Apple Pay has gradually spread to additional nations while growing the number of financial institutions that accept the functionality. Users may quickly add credit or debit cards from supported banks to their iPhone and Apple Watch using Apple Pay to make purchases at contactless payment terminals worldwide. On the Mac, Apple Pay is also accessible for online transactions.