Apple Pay may launch in China by February

The Wall Street Journal is reporting that Apple has struck a deal with four state-run banks in China, paving the way for the launch of Apple Pay in the country. The payment service may go live as early as February.

Tim Cook has mentioned that launching the service in China was one of his top priorities, and while an initial deal seemed likely, nothing concrete materialized. The WSJ is now stating that the negotiations revolve around the amount Apple earns from each transaction processed through Apple Pay:

In the U.S., Apple gets 0.15% of all credit card transactions and 0.5 cents per debit transaction, according to people familiar with the matter. The amount Apple would make off such transactions has been a sticking point in negotiations, say the people involved in the discussions.

Even after the regulatory hurdles, the service will go up against stiff competition, which includes state-run China UnionPay and Alibaba's Alipay.

Source: The Wall Street Journal

Harish Jonnalagadda

The clumsiest man in tech.