Apple is preparing to bring its payment service to India as early as next month, with Axis Bank expected to be its first major banking partner, according to 3 sources familiar with the matter.
The planned launch would mark Apple Pay’s entry into one of the world’s largest digital payments markets and one of the few major economies where the service is not currently available.
Mumbai-based Axis Bank is India’s 4th-largest credit card issuer. Apple has also held discussions with HDFC Bank and ICICI Bank, 2 larger private-sector lenders, but commercial terms have not yet been finalised, according to 2 of the sources.
All 3 sources spoke anonymously because the discussions are private. Apple and HDFC Bank did not respond to requests for comment, while Axis Bank and ICICI Bank declined to comment.
Apple Pay enables iPhone users to make tap-and-pay purchases using tokenised card details stored on their devices, without opening a separate payments application.
Apple is expected to add more lenders over time through direct agreements with individual banks. One source said this would follow the phased approach used for Apple Pay launches in other markets.
Apple’s share of India’s smartphone market has doubled to 8% since 2022, according to Counterpoint Research, making India one of its largest markets.
The service will enter a highly competitive digital payments ecosystem dominated by the home-grown Unified Payments Interface (UPI). UPI supports payments and transfers through QR codes, phone numbers and tap-and-pay, and accounts for 84% of India’s digital payments volume.
Last year, the Reserve Bank of India permitted biometric authentication for card payments. This could allow Apple Pay to work with Indian bank cards through Face ID and Touch ID.
Axis Bank had 16.26 million active credit cards in July, according to RBI data. It ranked behind HDFC Bank, SBI Cards and ICICI Bank in terms of credit card issuance.
Also read: Viksit Workforce for a Viksit Bharat
Do Follow: The Mainstream LinkedIn | The Mainstream Facebook | The Mainstream Youtube | The Mainstream Twitter
About us:
The Mainstream is a premier platform delivering the latest updates and informed perspectives across the technology business and cyber landscape. Built on research-driven, thought leadership and original intellectual property, The Mainstream also curates summits & conferences that convene decision makers to explore how technology reshapes industries and leadership. With a growing presence in India and globally across the Middle East, Africa, ASEAN, the USA, the UK and Australia, The Mainstream carries a vision to bring the latest happenings and insights to 8.2 billion people and to place technology at the centre of conversation for leaders navigating the future.