iPhone subscription service, Apple Pay Later financial services delayed: Mark Gurman
Apple’s upcoming financial services, which include the Buy Now Pay Later service, Apple Pay Later, the Apple Card savings account, and the unannounced iPhone subscription program, have reportedly been delayed. The Cupertino, California-based company’s upcoming offerings are reportedly facing engineering and technical issues, causing delays. Last year, Apple announced its Pay Later service and Apple Card Savings account integrated with the Wallet app. In addition, the yet-to-be-announced iPhone hardware subscription service and Apple Pay monthly payment service are in development but have also reportedly run into hurdles.
Bloomberg’s Mark Gurman says Apple’s planned financial services are facing technical issues. In his weekly Power On NewsletterGurman says Apple’s move into the financial vertical has been more difficult than expected. “I believe that the delays in all four initiatives are due to engineering problems, as well as work on the next generation financial system that will support them,” he explains.
Gurman said Apple is developing its own technologies for interest calculation, fees, credit checks, approvals and transaction history, which are currently handled by external partners. Apple’s upcoming services are another step towards reducing its reliance on third parties.
Apple Pay Later should go public by March or April, after a delay of several months, Gurman said. This feature is currently in beta for Apple corporate and retail employees. Apple Pay Later was launched last June and offers to split purchases into four equal payments within six weeks. Apple then said it plans to fund loans for its Pay Later service from its corporate balance sheet.
The company had announced its savings account feature for Apple Cards in October, which will allow users to “save their daily cash and increase their rewards in a high-yielding savings account from Goldman Sachs.” While the service was expected to launch in the coming months, Gurman says nothing is known about the upcoming feature yet.
An unannounced iPhone hardware subscription service that would allow users to purchase iPhone models based on monthly subscription payments was reportedly scheduled to launch in 2022 or 2023. to Gurman.