Tim Cook announces Apple Pay on Sept. 9, 2014.
Apple Pay is coming to Canada in November, according to the Wall Street Journal.
Reportedly, the fight is now on between Apple and Canada’s banks to determine how the transaction fees will be divided up between them, and Apple is taking the opportunity to squeeze them. (Not that they can’t afford it.)
Though Apple Pay has proven to be a popular form of contactless payment in the United States, Canada should be an even easier sell, considering our much higher adoption rate of NFC, pin-and-chip, and contactless payments on the retailer side.
Part of the resistance from card-issuing banks is that they recently agreed to lower transactions fees to decrease the burden on merchants.
From the WSJ’s Canadian Lenders Fret About Apple Pay:
Last year, Visa and MasterCard MA -1.40% voluntarily agreed to lower the swipe fees for Canadian retailers in order to avoid the Canadian government’s imposition of lower fees amid a debate over credit-card processing costs – a decision that will result in lower revenue for card-issuing banks starting this month.
Despite these concerns, it seems that an agreement will be announced shortly and you’ll see people reach for their phones both at the front and the back of the checkout lineup at the grocery store.