Apple will not face a class action lawsuit over claims that its deals with payment app companies chill innovation in the space after a judge tossed the suit, saying that it "suffers from several fatal problems." U.S. District Judge Vince Chhabria said that the plaintiffs had not been able to adequately allege antitrust standing "given the speculative nature of the connection between the alleged anticompetitive conduct and the plaintiffs' injury."

The lawsuit was originally filed in November of 2023 and claimed that Apple was in violation of Section 1 of the Sherman Act as a result of agreements it held with Google, PayPal, and other payment companies. Those agreements prevented the use of cryptocurrency payment options via the apps those companies made available on the iPhone, something that the lawsuit argues results in more costly payment options for users.

However, that now won't be tested in court after the judge said that there was no way that the case could be revived even if it was amended. "Indeed, it is difficult to see how amendment could salvage this case," Chabbria wrote in the opinion, "But, in an abundance of caution, the motion to dismiss is granted with leave to amend." 

"The complaint suffers from several fatal problems"

The opinion, reported by BizJournals, comes after Apple lodged a motion to dismiss the original suit in February, saying that allegations that its agreements stop companies from using crypto technology on its iPhones and iPads were "demonstrably false." It isn't clear whether Apple's stance had any impact on the judge's decision.

The original lawsuit claimed that competition in the peer-to-peer payment space was being hampered by high fees for cash and credit card transactions because there was no option to use cryptocurrencies instead.

Apple's stance on crypto in general has come under scrutiny while scam apps have been repeatedly used to steal money from iPhone users.

More from iMore

• Investor lost $650k in crypto and NFTs through this iCloud scam
• App Store approval woes continue as crypto scam steals thousands of dollars from users
• Australia sues Meta over scam crypto ads on Facebook

It has just gotten easier for small businesses in the United States to accept contactless payments after two of the country's most popular money platforms confirmed support for Apple's Tap to Pay feature. The feature allows businesses to accept contactless payments via either Apple Pay or contactless cards using nothing more than an iPhone. So long as it's an iPhone XS or newer, no additional hardware is required — no dongles or Bluetooth card readers are needed.

Accepting contactless payments using an iPhone is something that businesses have been doing for years, and the use of contactless payment technology has come on in leaps and bounds thanks in part to the COVID-19 pandemic and a requirement for easy payment methods that do not require cash. Apple announced the Tap to Pay technology in 2022 but it requires that payment processors add support for it before can be used. That's what PayPal and Venmo have now done.

Businesses that want to accept payments via either payment service will simply need to have the required app installed in order to begin accepting payments and tips, process receipts, and more.

An increasingly cashless world

In a press release confirming the support for Apple's Tap to Pay feature, Nitin Prabhu, VP, of Small Business & Financial Services at PayPal noted that people are simply using cash less and less which means businesses need to be able to react.

"As consumers increasingly turn to non-cash options to pay, small businesses are looking for affordable and flexible ways to offer their customers more payment choice without being tied down to a fixed location," Prabhu said. "With Tap to Pay on iPhone, millions of small businesses that use Venmo and PayPal Zettle can now start accepting contactless card and digital wallet payments nearly anywhere, directly on their iPhones, which can expand their customer base and drive incremental sales." 

Businesses are already starting to plan with the press release mentioning one in particular that was keen to begin accepting Venmo payments.

"Enabling Tap to Pay on iPhone with our Venmo business profile was really easy, and my customers really love it because it's a quick and convenient way for them to pay," Elaine Bailey, founder of The Cheesecake Queen in Texas, said. "It's especially handy when I have a long line of customers and need to get payments processed quickly. The solution has made it so fast and simple to accept payments when I'm selling at popups and festivals, especially because a lot of my customers don't want to carry cash, and prefer to pay with a digital wallet like Venmo or with cards.

The press release goes on to say that "small business owners can get set up in just a few simple steps and start accepting contactless cards and digital wallets through their Venmo business profile or through PayPal Zettle."

According to PayPal, more than 40% of Americans say that none of the purchases they made within a typical week were made using cash, a move that suggests cash is no longer king for a lot of people. Contactless payments have been relatively slow to take off in the United States while other parts of the world have been using them extensively. Features like Tap to Pay could help give businesses the impetus — and the technology — required to drive adoption across the US.

More from iMore

• Apple Tap to Pay gives Australian businesses a new way to get paid
• Brazilian iPhone owners can now accept payments using Tap to Pay
• Apple Tap to Pay brings iPhone-based contactless payments to France

It might have taken a long time but PayPal customers can finally make use of Apple Pay for the first time.

Apple Pay allows people to use their iPhone or Apple Watch when making contactless payments while iPad and Mac owners can also make online orders using the same technology. But so far PayPal card holders have been left out in the cold. Not anymore!

Now, owners of PayPal debit and credit cards can sign up for Apple Pay, making the two types of cards much more useful for those who don't actually like to carry them around all the time.

Time to (Apple) pay up

PayPal is still yet to announce the new Apple Pay support officially but some users are already starting to see banners asking them to add their cards.

Those who want to use their PayPal card with Apple Pay can set it up manually by adding it via the Wallet app, while the option is also there to do it via the PayPal app instead. A new banner on the app's main page should prompt users to take the new feature for a spin. Don't see the banner? Try force-quitting the iPhone app and reopening it to see if that kicks things into gear.

As some have already noted, Venmo is yet to follow suit despite PayPal being its parent company. That is sure to change eventually, but we never expected PayPal to take this long to add Apple Pay support so who knows at this point.

This move does of course mean that people can more easily use their PayPal card to buy a brand-new iPhone 15 or iPhone 15 Pro this month. The new handsets are set to go on sale later in September following an expected unveiling tomorrow, September 12. Pre-orders are likely to begin later this week.

It'll soon be easier than ever to use Apple Pay when checking out, with more small businesses offering it as an option on their websites thanks to PayPal.

While PayPal already offered a checkout system for small businesses, the implementation didn't have Apple Pay support built in. Instead, PayPal, PayPal Pay Later, Credit Card, and Venmo were the only options.

Now, PayPal is adding Apple Pay to the mix to give people even more options.

More payment options

The move comes as PayPal expands its Advanced Checkout option. Businesses have a Standard Checkout integration option that allows them to accept payments via PayPal, whereas Advanced Checkout allowed people to pay using the methods we mentioned above. But TechCrunch reports that Apple Pay is now being added to the mix.

The news comes after PayPal already announced support for Apple's Tap to Pay, and is part of a growing relationship between the two companies. Adding Apple Pay support will make the payment method available to more people than ever.

PayPal is also giving customers the chance to save their cards in a vault that allows them to be easily recalled when they visit a specific website. The card details aren't saved in PayPal because no PayPal account is required when paying via credit card, but it will mean people won't have to re-enter their details on repeat visits.

Apple Pay does of course help with the same problem of re-entering details, but not everyone has an Apple device or Apple Pay configured.

Changes like this PayPal Advanced Checkout implementation help make Apple Pay more than just something you use whenever you buy the new best iPhone every year — they help people use it every day as well. That has to be more secure than handing credit card details over to a website, even if you're using PayPal as the intermediary.

What you need to know

• Apple's BNPL offering has already seen the competition make moves to combat it.
• PayPal has announced a new two-year payment plan.
• Interest will range from 0% to 29.9%.

Following the news that Apple is launching its own buy now, pay later (BNPL) system, one of the incumbents is fighting back. Today, PayPal announced that it is expanding its own BNPL offering to give customers more choice when choosing their repayment scheme.

PayPal already allows people to make a purchase and then spread the payments across a six-week period using its Pay in 4 service, but it's now expanding that to a new Pay Monthly offering that will give people up to two years to pay. Purchases between $199 and $10,000 will be eligible for the new Pay Monthly service, PayPal confirms.

Management of the loan will be handled via the PayPal app, while Apple's service will be managed through the Wallet app installed on iPhones.

PayPal notes that interest will range from 0% to almost 30% based on the level of risk and, presumably, the amount of money being borrowed. Apple's new Apple Pay Later will be interest-free, but will also be limited to purchases of $1,000 and below.

Apple Pay Later will launch as part of iOS 16 later this year and was announced as part of the WWDC22 opening keynote on June 6. People will be able to use Apple Pay to pay for goods and then spread the cost across six weeks with no formal credit checks being carried out — and Apple is the one on the hook for any defaults, too. In the case of PayPal, WedBank will be the outfit lending the money.

What you need to know

• Apple is the subject of a European Commission Statement of Objections surrounding its locking down of NFC technology on iPhones.
• A new report claims that PayPal was behind the initial decision to look into Apple's payments system.
• The European Commission believes Apple Pay has benefitted from being the only NFC-enabled payment wallet available to iPhone users.

Online payments company PayPal was reportedly behind the European Commission's (EC) decision to take a closer look at how Apple locks down NFC payments on its iPhone hardware. Apple Pay is the only payment system granted access to NFC tech on iPhones and an EC Statement of Objections has been passed to Apple.

That Statement of Objection was detailed earlier this week but a new Bloomberg report claims that it was PayPal that got things moving. Currently, PayPal isn't allowed to compete with Apple Pay due to Apple's locking down of NFC capabilities in the iPhone. The same goes for Apple Watch hardware, too.

In its earlier statement, the EC had claimed that Apple restricts competition for mobile wallets on iOS, allowing Apple Pay an unfair advantage.

The fact that PayPal was one of the players involved in the EC's decision to get involved shouldn't be all that surprising, but it's notable. Apple continues to come under pressure from various antitrust cases around the world and companies like PayPal will be waiting in the wings to take advantage of any changes Apple makes — whether by choice or after having been forced to by international governments.

Apple Pay is undoubtedly one of the best iPhone features around, especially when coupled with Express Transit. Whether alternatives from the likes of PayPal will be offered in the future is unclear, but it doesn't seem likely to be something Apple will offer without a fight.

What you need to know

• PayPal is suspending its services in Russia.
• The company condemned Russia's invasion of Ukraine.
• Customers will be able to withdraw money for a period of time.

PayPal has announced that it is suspending its services in Russia due to the ongoing invasion of Ukraine.

"PayPal supports the Ukrainian people and stands with the international community in condemning Russia's violent military aggression in Ukraine," CEO and President Dan Schulman said in a statement to iMore. "PayPal has been working closely with governments and partners to actively comply with all applicable laws and sanctions. Under the current circumstances, we are suspending PayPal services in Russia." Specifically, the company says its suspension pertains to its remaining send and receive services and its international remittance service Xoom in Russia. PayPal had already suspended new account requests in the country, and it discontinued its domestic services in Russia in mid-2020.

PayPal says that throughout the crisis it has focused on enabling and supporting humanitarian relief efforts to those in Ukraine and others fleeing for safety, it is also working to care for impacted employees and their families, as well as customers and small businesses impacted by the event. PayPal says it "will remain steadfast" in its humanitarian efforts to care for those in Ukraine who are experiencing devastating violence and tragic loss."

A company spokesperson further told iMore that the company has helped raise over $150M for charities, describing the fundraising as "one of the largest efforts we've seen in such a short period of time." PayPal confirmed that it would continue to work to process customer withdrawals "for a period of time" to ensure balances are dispersed in line with applicable laws and regulations.

PayPal joins other digital firms in withdrawing or suspending services in Russia in response to the invasion. Earlier this week Apple announced it would cease sales of products in the country, and that it was de-platforming state-sponsored news outlets such as Russia Today and Sputnik. PayPal is one of the best iPhone apps for sending and receiving money worldwide on devices like the iPhone 13, but is also a key tool used by small businesses to process secure payments.

What you need to know

• Half of the internet isn't working as of right now.
• Sites like Reddit, Amazon, Twitch, eBay, and more are all unavailable.

Updated June 8, 2021: Fastly's status page now states "The issue has been identified and a fix is being implemented." Service is now being restored to most websites, but it might take a while for everything to come back online. Hang tight!

It isn't just you! Great big chunks of the internet are currently offline including the likes of Reddit, Amazon, Twitch, eBay, and more. Even Google's suffering.

A check of Down Detector shows some huge names are now experiencing some sort of outage.

As you might imagine, the people of the internet are now doing their best to entertain themselves while the internet apocalypse unfolds.

https://twitter.com/Ricker666/status/1402208258341883904

Sites confirmed to be Having A Bad Day include Reddit, Twitch, CNN, Google, PayPal, Spotify, PayPal, BT, Stack Overflow, and many more. Apple Music is still fine though!

It isn't yet 100% clear what's going on, but there is some suggestion that CDN outfit Fastly is suffering its own outage, taking half of the web with it. But more importantly, when it will all end so we can go back to browsing Reddit!?

Developing ....

Throughout the week, I frequently work from various cafes around my neighborhood. It's a great way to vary up my scenery and keep my brain on task — and, let's be honest, drink many delicious beverages.

But it also means that cafe Wi-Fi networks, even when accessed through a VPN, can trigger various website security measures. I got one such measure today, when trying to log in to PayPal to check my balance. Unlike many of my accounts, I hadn't turned on two-step authentication for PayPal yet, so all I use to access to my account is a username and password. Instead of seeing PayPal's welcome screen, however, I got this:

"Serenity, we're looking out for you," the page read after I entered my credentials. Unusual log in, change your security details — not an abnormal warning to get when using a new Wi-Fi network.

What followed, however, was as abnormal a security measure as I'd seen: Rather than have me confirm my identity with a security question, phone call, text message, or emailed link, I was given an immediate password reset form.

If you know anything about social engineering attacks, your face at this point might look as horrified as mine certainly was upon looking at that form. Contrary to PayPal's goals, this is perhaps the worst way to secure a person's account I can think of: To prompt an immediate password reset — with no secondary identification confirmation — gives a potential attacker an immediate way to cut off access from your account.

Say someone used a social engineering hack to gain access to my PayPal credentials, then logged in with them in a public café: They might get PayPal's note, and then instantly be offered to change my password; my only warning would be a password reset email, and only recourse to call PayPal's consumer support number.

There are many, many better ways to do this: PayPal could ask users to confirm their identity with a second factor of identification, like another device, email account, or phone number; the company could ask you to answer a security question; or it could simply lock the account until you click on a link in your email or text message. None of these options are completely foolproof, but they're a damn sight better than just throwing up a password reset form upon suspicion of malicious activity.

Yes, PayPal does offer two-step authentication for users — which would theoretically save you from this warning and password reset —but two-step turns off the service's OneTouch feature; it's also hidden under the label "Security key" and not prominently advertised to its users. And potentially punishing the average person for not turning on two-step isn't fair.

PayPal, let me put it bluntly: This is a crazy, horrifying way to try and secure someone's account. I hope you change it soon; until then, I'm activating two-step on my PayPal account and encourage everyone else to do so ASAP.

How to turn on two-step authentication for PayPal

1. Log in to PayPal.
2. Click on the Settings gear icon in the upper right corner.

3. Select the Security tab.
4. Click on the Update link next to Security Key.

5. Register a new phone number.
6. Enter the six-digit security code sent to your mobile number.
7. Press Done.

Now, whenever you log into PayPal, you'll need a six-digit key from your iPhone to proceed. This will also turn off PayPal's OneTouch feature.

I put in a request to the company's media relations line to find out why PayPal does security in this manner, and will update this story as I find out more.

PayPal has released a major update to its mobile app, completely redesigning its look and feel. The app has brand new home screen, moving the major features up front and giving you easier access to your account information, activity, and more. It's also easier to send or request money, as well as make payments in stores from the app.

The major features in PayPal's latest update include:

• A completely refreshed design
• New start screen that provides faster access to your most important account info and the top actions you take
• Send and Request Money pages that can be personalized with the people you exchange money with most - including your phone contacts
• Completely new request money flow that allows others to pay you with just one click
• Greater account info including 3-years of history and how you funded your payments and the money you sent
• Yes, basically everything is new

You can grab PayPal from the App Store right now.

• Free - Download Now

Starbucks, the internationally popular coffee chain, acknowledged that criminals are actively using the company's official app to obtain personal details as well as gain access to monetary accounts. The criminals create a new gift card, load your money onto the card, and transfer the funds over. Starbucks had no process in place to challenge or halt the transactions, or ask for customers affected to provide a secondary approval. Bob Sullivan reports:

Since many people use the same, simple password for multiple, if not all accounts, once one system has been compromised, criminals can just try the same username and password combinations on other systems, and often get right in.

Once they have access, the criminals are reportedly using the auto-refresh option to load more money onto the Starbucks account, and then using that money to send gift cards to email addresses they control.

To be clear, there's no indication anyone has hacked into Starbucks's system to steal customer data. They're just exploiting week, repetitive passwords. It's absolutely a crime, but it's one we can help prevent by using strong, unique passwords. An example of a strong, unique password is: 8qHjz>g%wHkY+siEzri8

Because strong, unique passwords are not only incredibly hard to crack, they're almost impossible to remember, we also recommend using a password manager like 1Password or LastPass. These tools also offer password generators that can supply random passwords for use on various accounts. You're even able to determine the password strength.

Starbucks should also make two-step authentication — where a token gets texted to a trusted device, like your iPhone — for better security on their end as well.

Burger King shoppers might want to pay for their next Whopper with Apple Pay on their iPhones, but The King has different plans for them: their own app. Burger King and PayPal today unveiled a partnership that will see the Burger King iOS app updated to support making in-store payments via PayPal instead instead of using Apple's credit card-reliant system. Burger King hasn't made any official moves with their current Apple Pay-compatible NFC payment installations, but given the reaction towards MCX and CurrentC retailers shutting down Apple Pay, we hope they'd be hesitant about doing so.

In a blog post, PayPal stated:

Burger King announced plans earlier this year to offer customers a way to pay for their meals via their iPhone app. McDonald's, the nation's biggest fast food restaurant, has already sided with Apple's mobile payment system, Apple Pay. So far there's no word if Burger King will add Apple Pay support as well.

Source: PayPal

eBay will spin off its online payment division PayPal into its own separate, and publicly traded, company sometime in the second half of 2015. eBay claims that keeping PayPal around beyond 2015 "clearly becomes less advantageous to each business strategically and competitively."

eBay acquired PayPal for $1.5 billion way back in 2002. In announcing today's separation, eBay said:

Devin Wenig, who currently serves as eBay's Marketplaces leader, will become the new CEO of the company when the PayPal spin off is complete. Dan Schulman, previously the president of American Express's Enterprise Growth Group, has been named as President of PayPal and is currently scheduled to be its CEO when the two companies part ways.

Do you think it is a good decision for eBay and PayPal to separate?

Source: eBay