Apple plans to engage with the NPCI and other Indian authorities in the coming weeks to launch its Apple Pay payment service in the South Asian market, according to two people familiar with the matter, who is eyeing a path in a crowded space dominated by Walmart’s PhonePe, Google’s GPay and Paytm.
The company, whose chief executive Tim Cook met with bankers during his recent visit to India, is working on a local version of Apple Pay that works on top of UPI, a popular payment method in South Asian market, people familiar with the matter said. NPCI, a special division of India’s central bank Reserve Bank of India, manages the UPI platform.
Apple wants iPhone customers in India to be able to scan QR codes and initiate UPI transactions without having to use any PSP app, the people said, requesting anonymity for comment. in non-public matters.
Apple did not respond to a request for comment on May 24.
The iPhone-maker, which debuted its first set of retail stores in India in April this year, has held several conversations about launching Apple Pay with authorities over the years. Company executives told the press more than six years ago that Apple planned to bring Apple Pay to the country — and never followed through.
During recent conversations with some Indian authorities, Apple suggested that Apple Pay would have the ability to use Face ID for UPI authentication on iPhones, according to a person familiar with the matter. in this matter.
The company has yet to make a final decision on its partners and launch date, the people cautioned, suggesting a launch could still be several quarters away.
India is a small market for Apple and a possible launch of Apple Pay is unlikely to disrupt the incumbents in the ecosystem, which processes more than 8 billion transactions a month on the UPI platform. More than 90% of all smartphones used in India run Android.
