Tag Archives: iPhone 6

Apple’s New Ecosystem: the Implications of Apple Pay

Apple Pay

 

 

 

APPLE’S NEW ECOSYSTEM: THE IMPLICATIONS OF APPLE PAY

Today, October 20, Apple launched Apple Pay with the release of their iPhone iOS 8.1 version of the device operating system. This new payment system is scheduled to go live with 220,000 merchants today for users with iPhone 6 or 6 Plus. I wrote about these new devices here. When the Apple Watch is released in 2015, which I wrote about here, it will support Apple Pay as well. See the list of merchants at the end of this article. *

While the iPhone and Apple Watches are innovative, I believe the real excitement is in the new ecosystems Apple is creating. Ecosystems are built around devices with software and services. This is one way for customers to enjoy using a number of Apple devices in a more easily integrated environment, encouraging them to buy more Apple products and upgrade to new devices when they come along.

Who is starting with Apple Pay?

The first was the Apple Store itself, where Apple employees were recently trained to help customers use it. The first app I updated after upgrading to iOS 8.1 was the Apple Store app. Soon followed like Panera, OpenTable and Uber. Others are jumping onboard quickly, including McDonald’s. The big questions that consumers will have is: what about security and privacy?

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Apple’s New iPhone 6: Why you care

iPhone

Apple’s recent product launch in Cupertino was huge:

  1. iPhone 6 and iPhone 6 Plus, about which many leaks had already informed us
  2. Apple Watch, the previously rumored iWatch saw the light of day, though it cannnot be ordered until next year. Read about it in my next article here
  3. Two new ecosystems — which are the truly revolutionary part of the announcement — Apple Pay and HealthKit. I’ll tell you why these will be significant. Read about Apple Pay here

For a bit of irony…

These are the highest performing iPhones ever released. And as happens with each new iPhone announcement, a couple of days after the announcement pre-orders are available at midnight Cupertino time:

  • Both Apple and the cellular carriers anticipate greater demand than the previous release
  • They prepare their ordering systems for the increased load and staff up
  • During the midnight “ordering storm” their systems melt down faster and worse than previous years

Even Apple’s ordering site was down for almost two and a half hours. The carriers faired no better than in years past: support lines were broken and escalation was delayed or nonexistent. I’m hearing of delivery dates for iPhone 6 Plus that are 2 months out even if you ordered within the first 15 minutes.

Continue reading Apple’s New iPhone 6: Why you care