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pple CEO Tim Cook and his team in­tro­duced the iPhone 6, iPhone 6 Plus and Ap­ple Watch on Septem­ber 9, where they also in­tro­duced mo­bile pay­ment sys­tem, Ap­ple Pay.

Ap­ple’s leap into pay­ments looks promis­ing; a June 451 Re­search survey found one in four con­sumers would be “most likely” to use a mo­bile wal­let from Ap­ple. For­rester Re­search es­ti­mates Americans will spend $90 bil­lion through mo­bile pay­ments by 2017, up from $12.8 bil­lion in 2012.

Ap­ple cur­rently holds more than 800 mil­lion iTunes ac­counts with linked credit cards and al­ready has a pay­ments in­fra­struc­ture to han­dle app and me­dia sales. It’s now work­ing with Amer­i­can Ex­press, MasterCard and Visa to of­fer a mo­bile pay­ments ser­vice, which it’s de­vel­op­ing with banks and re­tail­ers to launch in Oc­to­ber in the US and in­ter­na­tion­ally at the be­gin­ning in 2015.

ASe­cu­rity mat­ters

Ap­ple Pay works with iPhone 6 and iPhone 6 Plus, or with 5-se­ries iPhones and an Ap­ple Watch. It uses NFC, a ded­i­cated chip called the Se­cure El­e­ment, and Touch ID. En­ter your card de­tails into the sys­tem once and, in the fu­ture, you’ll be able to make pay­ments at par­tic­i­pat­ing re­tail­ers on­line and on the high street. “Se­cu­rity and pri­vacy is at the core of Ap­ple Pay,” said Ap­ple’s in­ter­net chief, Eddy Cue. “When you’re us­ing Ap­ple Pay in a store, restau­rant or other mer­chant, cashiers will no longer see your name, credit card num­ber or se­cu­rity code, help­ing to re­duce the po­ten­tial for fraud.”

Highly se­cure, Ap­ple Pay re­lies on de­vice­spe­cific to­kens (your ac­tual credit card de­tails are not stored by Ap­ple or the de­vice). Barry McCarthy, pres­i­dent of fi­nan­cial ser­vices at First Data, told Pay­mentsSource: “The [pri­mary ac­count num­ber] is never trans­mit­ted to the phone… which makes it dif­fi­cult for the bad guys to steal the PAN in flight.”

If you lose your de­vice, Find My iPhone will sus­pend pay­ments from your de­vice if you put it in Lost Mode. You’ll not need to re­place your card, just cre­ate a new to­ken. “Con­sumers can be con­fi­dent their Ap­ple Pay trans­ac­tions will be pri­vate, safe, and se­cure,” said Mor­gan Reed of the App As­so­ci­a­tion.

What does Ap­ple Pay cost? Ap­ple says shop­pers and re­tail­ers won’t have to cough up any ad­di­tional pay­ment-pro­cess­ing charges, in­stead it ap­pears to have reached deals with providers that en­able the company to take a

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