IT Pro is supported by its audience. When you purchase through links on our site, we may earn an affiliate commission. Learn more

Apple acquires startup to turn iPhones into payment terminals

The $100 million takeover could make it easier for small businesses to accept payments

Apple has acquired a startup that develops technology that could turn mobile phones into payment terminals that accept card payments without the need to connect any external hardware or peripherals. 

The company can integrate Mobeewave Inc technology into iPhones to turn these devices into payment terminals, allowing small and medium-sized businesses (SMBs) to accept card payments through Near Field Communications (NFC).

The system currently allows customers to tap their payment cards or bank account-linked smartphones on a business device with the Mobeewave app installed. The simple process demands that users simply enter the transaction amount, and tap their payment card or device before payment is processed and a receipt is generated.

Apple has paid approximately $100 million to acquire the startup, according to Bloomberg, with the Montreal-based company set to retain its full team. The move represents a step forward into payments business for Apple following the launch of Apple Pay in 2014, which allowed iPhone users to pay with their phones. 

The integration of Mobeewave technology into Apple’s systems would presumably allow the company to develop means for iPhones to seamlessly accept payments, and it put the company on a greater footing against the likes of Google Pay and Samsung Pay and would see the firm competing with the likes of Square.

“Apple buys smaller technology companies from time to time and we generally do not discuss our purpose or plans,” an Apple spokesman told Bloomberg.

The acquisition could also potentially reduce the capabilities of some of Apple’s rivals in the payments space, including Samsung, which partnered with Mobeewave in October last year. 

As part of the agreement, the two companies developed a point of sale (POS) platform that essentially replicated Mobeewave’s function on Samsung devices, allowing device owners to accept mobile phone or card payments via NFC. 

The pilot, based in Canada, generated 10,000 downloads of the Samsung POS app mainly driven by micro-merchants and small businesses across several industries. The companies expected to deploy their system globally from this year.

Featured Resources

Accelerating AI modernisation with data infrastructure

Generate business value from your AI initiatives

Free Download

Recommendations for managing AI risks

Integrate your external AI tool findings into your broader security programs

Free Download

Modernise your legacy databases in the cloud

An introduction to cloud databases

Free Download

Powering through to innovation

IT agility drive digital transformation

Free Download

Recommended

Best business smartphones 2022: The top handsets from Apple, Samsung, Google and more
Mobile

Best business smartphones 2022: The top handsets from Apple, Samsung, Google and more

23 Jun 2022
Apple faces a catch-22 decision with iPhones and USB-C
Policy & legislation

Apple faces a catch-22 decision with iPhones and USB-C

8 Jun 2022
Apple overhauls SwiftUI navigation and brings a score of new features to developers at WWDC 2022
software development

Apple overhauls SwiftUI navigation and brings a score of new features to developers at WWDC 2022

7 Jun 2022
The EU’s Apple App Store crackdown ‘will fuel cyber attacks’
cyber security

The EU’s Apple App Store crackdown ‘will fuel cyber attacks’

1 Jun 2022

Most Popular

Actively exploited server backdoor remains undetected in most organisations' networks
cyber attacks

Actively exploited server backdoor remains undetected in most organisations' networks

1 Jul 2022
Former Uber security chief to face fraud charges over hack coverup
data breaches

Former Uber security chief to face fraud charges over hack coverup

29 Jun 2022
Why India wants to become a chipmaking powerhouse
components

Why India wants to become a chipmaking powerhouse

28 Jun 2022