Apple Resumes Card Payments for App Store

Apple has again allowed users in India to make card payments for purchases on App Store and iCloud. This means both credit and debit cards will work for the users when they are purchasing. Apple had stopped support for card payments through its platforms in 2021. But after years since, the company is now bringing it back. This will be a gradual rollout for users. For these five years, people could only choose UPI or netbanking for this. But now, customers can choose iCloud and App Store payments via cards.

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Apple has resumed it only after complying with the Reserve Bank of India’s (RBI) card tokenisation mandate. As per RBI’s rule, only card networks can store the tokenised data, which can further be only stored within India, not outside. It is also worth noting that Apple is planning to launch Apple Pay in India. However, the launch has been delayed due to discussions between the banks and Apple. The banks are negotiating very hard on the commissions. Until this is sorted, Apple will not be able to launch Apple Pay in the country.

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In its global practice, Apple backs up tokenised payment data on its local servers in the United States (US), China, and Denmark. However, this will not fly with the Indian government. Since Apple does not have a local data center in India, it will not be able to store the data within the country. Further, as per a Money Control report, Apple does not even plan to open any new data center in India. Apple has been trying to launch Apple Pay for a long time in India. But the government is not giving the regulatory approval for doing so. The launch of Apple Pay could be detrimental to the existing payment platforms in the country. To stay updated with all the latest developments around the matter, keep reading TelecomTalk.