iPhone 6: how iPayments could replace credit cards

iPhone 6 concept by Martin Hajek

The latest news on the iPhone 6 suggests Apple is planning a mobile payments system

LAST UPDATED AT 15:56 ON Mon 1 Sep 2014

The new iPhone 6, which Apple is expected to unveil next week, will come with a built-in "iPayment" system that could end the need to carry multiple credit and debit cards, according to the latest reports.

The system would let a user connect his or her iPhone 6 to a range of accounts, and then pay for goods and services by placing the handset on a reader to check out. Payments would be authorised using the iPhone's Touch ID fingerprint reader.

"Apple has reached an agreement with American Express to work together on its new iPhone payments system," the technology news site Re/code reports, citing "sources familiar with the talks".

Bloomberg later reported that Visa and Mastercard are also onboard, and added more technical details about how the system will work.

"The new iPhone will make mobile payment easier by including a near-field communication chip for the first time," it says.

Near-field communication (or NFC) allows data to be transferred between a device and a reader when one is placed close to the other - allowing phones to be used in the same way as contactless debit cards or Oyster cards on the London transport network.

NFC is not a new technology, but has yet to enter mainstream use despite its inclusion on many rival phones.

Fraud is likely to be a key concern for both customers and retailers signing up for the system, but according to Re/code the technology will prove secure. "Industry sources say Apple believes its iPhone payments system will be as least as secure as traditional payment cards," it says.

Commentators say that excitement about the iPhone 6 could help to popularise the technology.

"Apple's large contingent of devoted iPhone users make a mobile-payments system more attractive to a greater number of merchants," says Time. "And the fact that Apple already also has so many iTunes accounts on file means users may be more inclined to try out the service."

According to CNET, 800 million iTunes account holders have entrusted Apple with their credit card details. Those customers are likely to be able to take advantage of the iPhone 6's new payment system without too much form-filling, which often creates an obstacle to new payment systems.


iPhone 6: what to expect

There is no shortage of speculation about what will be included in the next iPhone, and while some of it seems to be based on wishful thinking, much is likely to prove well founded:

Sapphire crystal: the use of sapphire crystal (also known as sapphire glass) for the iPhone 6 screen has been one of the most persistent rumours about the new handset. Apple is known to have invested heavily in the super-strong manmade material, which is resistant to scratching and bending, but recent reports suggest that it has been having trouble making it in sufficient quantities – and at sufficiently low costs – to furnish an iPhone production run of 100 million units or more. The Guardian recently suggested that Apple may end up using a blend of glass and sapphire crystal.

A Liquidmetal shell: As Apple strives to make the new handset as slim and strong as possible, some commentators have speculated that it may turn to Liquidmetal, an alloy that's stronger than aluminium. In theory that would mean the handset could be lighter and slimmer without skimping on strength or build quality, but in practice it seems unlikely. Although one of the inventors of Liquidmetal predicted two years ago that Liquidmetal cases would be possible by mid-2014, its use has so far been limited to small components.

Liquidmetal components: This is much more likely. Documents published by Apple-watching website MacRumors, suggest that the alloy could be used in buttons and switches in order to toughen up what have often proved to be weak points on previous iPhones.

Aluminium frame: Although Liquidmetal may be off the cards, most of the leaked images and technical drawings suggest that Apple will adopt an all-metal rear frame for the iPhone 6. Previous iPhones have made either extensive or decorative uses of glass, but this year's preview shots appear to show a rear panel fashioned entirely from aluminium – with a cut-out for the Apple logo.

Super-slim frame: Whatever it's made from, most commentators expect the iPhone 6 to be noticeably slimmer than its already svelte predecessor. A few months ago some were predicting a depth of just 6mm, but specs supposedly leaked by Amazon in recent weeks suggest we can look forward to a 7mm iPhone. The slender dimensions are apparently causing problems for component-makers: the difficulty of making a battery that's just 2mm thick has reportedly led to production delays.

A8 chip: Concerted speculation that the new device would include a revamped processor has been "confirmed" by Venturebeat. "The A8 will run at a frequency of 2.0 GHz per core and will create noticeably faster response time and graphics rendering in the new phones," its source says. "By comparison, the A7 chips in the iPhone 5 run at only 1.3GHz per core." Even if those details prove wide of the mark, a newer, speedier chip is a safe bet: Apple is unlikely to build an all-new phone around old technology. 

13-megapixel camera: There has been comparatively little speculation about the iPhone 6 camera, but tentative reports out today suggest that Apple may build in a 13-megapixels sensor capable of recording high-resolution 4K video. "Apple is well-known for investing millions into its camera sensor, though the company has always refrained from entering the megapixel count race because adding more megapixels tend to have an negative effect on the low-light performance," Tech Times says. But the website sounds a note of caution: "The original source comes from a Chinese web forum, which may not be the best place to find legitimate iPhone 6 leaked information."

Optical image stabilisation: MacRumors says the bigger of the two iPhone 6 models "may include camera improvements in the form of optical image stabilisation with modules produced by sensor company InvenSense". Camera performance is becoming increasingly important at the top end of the smartphone market, and analysts suggest that optical stabilisation, which reduces image blur, could help to justify a larger price tag for the 5.5-inch iPhone 6.

A curved screen: At the end of last year Bloomberg carried a report predicting the next iPhone models would have screens that curved down at the edges. Curved screens are said to be more durable, more comfortable to use, and better suited to watching videos and playing games, according to Sky News. This would be a bold move for Apple, which usually likes to stand back and see how other phone-makers fare with new, risky technologies – and more recently a source told The Wall Street Journal that Apple has no plans to make use of curved glass. However, despite all the leaked images apparently showing the iPhone 6 with a flat screen, rumours of curved glass have resurfaced, most recently in the Daily Mirror.  

Quantum dots: This is probably a technology for future handsets, not the iPhone 6. Patent filings suggest Apple is experimenting with tiny crystal semiconductors just a few thousandths of a millimetre across, which could improve the colour and sharpness of mobile screens. "The techniques Apple describes would let its screens not only show colours more accurately," Business Insider says, "but also show a wider gamut of colours." The publication had predicted in March that the quantum-dot screen may be ready this year, but no further reports of the technology have emerged.

Battery life: Mixed signals have emerged about the iPhone 6 battery life. On the positive side, analysts have pointed to iOS 8, Apple's new operating system, and its new A8 processor as evidence that the company is paying more attention to power consumption. The chip, says 9to5Mac.com "adds significant performance and efficiency enhancements in order to improve the iPhone’s battery life". On the other hand, more recent reports suggest that the slim frame of the new phone has forced Apple to adopt a battery that is just 2mm thick. Taiwanese sources suggest that the new battery has a "similar capacity" to its predecessor, which may dash hopes of significantly improved performance.

Eye-tracking: Some rumours suggested that the iPhone 5S would be eye-controlled, allowing users to scroll through pages without touching the device. When the technology failed to materialise in the last model, hopeful observers shifted their attention to the iPhone 6.

NFC: Another long-predicted feature, Near Field Communication or NFC would allow the phone to act as a payment system. Users would wave their handsets over a receiver to transfer money in shops and restaurants, or between friends. Several Android and Windows Phone devices already support NFC payments, but Apple has yet to make the leap.

Health monitors and apps: Apple has already unveiled its new operating system, iOS 8, and what we've seen so far suggests that Apple is turning its attention to health and fitness. Smartphone accessories such as the Fitbit and FuelBand have proven the demand for health-monitoring devices, and reports suggest that the iPhone 6 will  be able to keep track of its owners pulse and body temperature, as well as other metrics. These features may work in conjunction with the long-awaited Apple iWatch

Price: Financial analysts suggest that the iPhone 6 will be more expensive than its predecessors, in part because of the cost of new components, and in part to re-establish the profit margin eroded by last year's upgrade. When Amazon Japan apparently leaked details of the new device last month, the price, which was the equivalent of £100 higher than a similar iPhone 5S model, took many commentators by surprise. It's unclear whether the leak reflected genuine pricing information, or even if it was a way for Apple to test reaction to a price rise. 

Production run: After relatively minor iPhone upgrades last year, analysts expect this year's more substantial changes to create unprecedented demand. According to the Wall Street Journal, Apple "is asking suppliers to manufacture between 70 million and 80 million units combined of two large-screen iPhones with 4.7-inch and 5.5-inch displays by Dec. 30". That's substantially more than the 50 to 60 million iPhone 5S and 5C production run last year, and a huge leap from the 35.2 million iPhones sold in the three months to June.

iPhone 6: Apple confirms special event on 9 September

29 August

Apple has confirmed that it will hold a press even on 9 September, at which it is all but certain to present the iPhone 6. Less certain, but also the subject of speculation, are announcements about a large-screened iPad Pro and a wrist-mounted iWatch.

Apple has all but confirmed that the iPhone 6 will make its first official appearance on 9 Septmber, as speculation mounts that it may be accompanied by other new Apple products.

An invitation (below) sent to journalists confirms the date but gives little away about what will be on show. "Wish we could say more" is the teasing strapline.

The press event will take place in Cupertino, the Californian city in which Apple has its headquarters. It will start at 7pm UK time and, if past events are anything to go by, will hold back the most anticipated news until the very end.

Analysts are united in predicting that a 4.7-inch iPhone 6 will be unveiled, with some also expecting a 5.5-inch version of the new handset.

Yesterday, reports began to circulate the long-rumoured iWatch – a wrist-mounted device that works in conjunction with an iPhone – would also make its debut.

And that's not all. "Other products rumoured to be in the works include a 12-inch iPad, an Apple-designed television set and a revamped Apple TV," reports Wired.

Apple never comments on products before their official announcement, but leaked information and images have allowed observers to build up a detailed picture of what they're expecting from the iPhone 6...


More on the iPhone 6

Will iPhone 6 come with scratchless sapphire screen?iPhone 6: Factory explosion may delay launch iPhone 6: super-slim battery to power 7mm iPhone iPhone 6: sapphire crystal screen resists knife attack - video iPhone 6 smart security identifies 'safe zones' iPhone 6 'leaked' by Taiwanese pop star New iPhone software raises hopes of extended battery life iPhone 6 will launch in September, says Deutsche Telekom iPhone 6: Siri gets smarter and iOS Map is back from the dead iPhone 6 to get super-sharp 'triple-resolution' screen


Disqus - noscript

I don't ever have a problem with battery life, my phone last all day and even in to another without having to charge it, The LG G2

Yeah, some android phones are great, some android phones are awful.. but if battery life matters to you, at least you have a choice in android.

With the iphone, terrible battery life is your only choice.

And the new IOS 6 is ugly as can be

the new IOS 6? come on its going to be 8 now! Which planet are u in?

The planet of big thumbs, typo

Actually the galaxy s4 already has the health monitoring app, it didn't start with the S5. It's great and I use it all the time to track my weight, my calories intake, my work out sessions and see how many steps I took. It also follows your path when you go for a run and keeps track of distance and time, while providing you with a soundtrack of the music stored on your phone. I don't even know why iphone is so proud to announce that it is finally getting a health app... If anything, it only brings further attention to the fact that the company is not innovating fast enough. Same thing with NFL (come on!!), camera, maps, widgets, and battery life. I was considering getting an iPhone 6 to switch things up a bit at the end of my contract (used to have one way back in the days), until all the news came out about it and I realized that iPhone is only trying to play catch up to its competitors. On my way to ATT to look at the phones that are already out AND are already better than the Iphone 6.

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