Reportedly Apple is currently in talk with at least one of the major financial institution in Japan so as to include the tap-to-pay feature in their next iPhone which will allow users to use their iPhone to pay for the train, bus and subway rides. It requires the company to integrate Felica technology in their iPhone which is a standard technology used in most of the transit systems in Japan to accept payments.
This technology how work is the users can store the pay as you go passes in their phone’s Wallet app after which the phone is needed to touch in the station barriers to travel. That’s it.
Felica technology is mainly used in Japan but in just one country only it has managed to capture a good share of the market. NFC system is the same technology that allows users to make contactless iPhone payment in various transit points in US, UK, and Australia. But while Felica technology alone rules around 1.9 million terminals across the country, in the US NFC is used in 1.3 million terminals and the UK has only 3,20,000 NFC terminals.
Apple Plans to Use Felica Technology Only to Make Payments
However, it is not still clear if Apple plans to use Felica technology only to make payments in the mass transit systems or else it will also be used to make other transaction such as vending machine and in other stores.
While the big tech company has a plan to add this feature in their upcoming iPhone that is due in September but it might be delayed also in case Apple’s discussion with the transit card providers takes some more time. No doubt this kind of discussion is really tricky and take sometimes as Japan consist of more than 70 railway companies along with a host of major travel cards.