PayPal's CEO responds to Apple's Venmo competitor: 'Apple can never do that'
Getty
This fall, that feature will launch as part of the next version of iOS, the software that runs on iPhones. Once the feature launches, people with iPhones can send and request money from other iPhones with Apple Pay with a tap or two.
The new service has been called a "Venmo killer," referring to the PayPal-owned app that handled nearly $6.8 billion in transactions during the first quarter of 2017.
If Apple's feature takes off, some argue, it could bite into the amount of transactions Venmo handles.
The CEO of PayPal doesn't see it that way. In fact, he said he wasn't particularly worried by Apple in an interview with the Telegraph published on Monday.
"We own the full value proposition. Apple can never do that because they don't do the risk associated with it, they don't do the onboarding, they can only provide what they hope is a good user interface. We try to provide that end-to-end value proposition and very importantly we do it across operating systems," PayPal CEO Dan Schulman told the Independent.
In this short comment, Schulman is highlighting several reasons why Venmo or PayPal may be more fully featured than Apple's payments services.
For example, PayPal handles backend and fraud risks of payments on its platform, and while Apple has yet to fully detail how its Apple Pay payments platform will work, it wouldn't be surprising if Apple would rather have the backend risk handled by financial institutions.
Venmo also has a social feed where you can see your friends' payments, which iMessage doesn't have.
Apple
Venmo also works across Android - so if you're splitting a check several ways after a dinner, users don't have to check to see if everyone owns an iPhone. Apple's payments platform will only work on iPhones, iPads, and other Apple products when it launches this fall.
BI Intelligence
Learn more:
- Credit Card Industry and Market
- Mobile Payment Technologies
- Mobile Payments Industry
- Mobile Payment Market, Trends and Adoption
- Credit Card Processing Industry
- List of Credit Card Processing Companies
- List of Credit Card Processing Networks
- List of Payment Gateway Providers
- M-Commerce: Mobile Shopping Trends
- E-Commerce Payment Technologies and Trends
- I spent $2,000 for 7 nights in a 179-square-foot room on one of the world's largest cruise ships. Take a look inside my cabin.
- Saudi Arabia wants China to help fund its struggling $500 billion Neom megaproject. Investors may not be too excited.
- Colon cancer rates are rising in young people. If you have two symptoms you should get a colonoscopy, a GI oncologist says.
- Mukesh Ambani’s JioCinema cuts subscription prices as India’s streaming war heats up
- Data Analytics for Decision-Making
- Experts warn of rising temperatures in Bengaluru as Phase 2 of Lok Sabha elections draws near
- Axis Bank posts net profit of ₹7,129 cr in March quarter
- 7 Best tourist places to visit in Rishikesh in 2024