Research firm Bernstein has estimated that Apple Pay could take up 10 percent of total card transactions globally, which can rival companies such as PayPal.
According to recent trend data, Apple Pay currently make up 5 percent of global card transactions. If the trend continues then the payment platform could pose a threat to companies like PayPal, Mastercard and Visa.
Apple’s digital payment is unique in that it comes from the Wallet app. Moreover, the Cupertino-based company maintains a tight control with its NFC technology for processing contactless transactions.
The same technology can prove to be a hindrance to its growth. In Australia, major banks are demanding access to the NFC function, while Germany has recently passed an anti-money laundering law that may force Apple to share the NFC technology to other mobile payment providers.
In November of last year, The EU commissioner says her department received concerns regarding Apple Pay’s anti-competitive aspects.