At its annual Worldwide Developers Conference (WWDC) in June, Apple announced a new feature coming in iOS 11 – person-to-person payments. This development appears to be Apple’s answer to the peer-to-peer payment services from PayPal, Venmo and Facebook Messenger, among others.
Peer-to-peer payments will live directly inside Messages, Apple’s messaging platform. Received payments will initially go to an Apple Pay Cash Card (essentially a debit card) within the Apple Pay app. Users will then be able to use their funds directly from the cash card wherever Apple Pay transactions are accepted. They can also transfer funds to their regular bank account.
Currently, Messages users can send payments between each other using third-party services like those from Venmo and Square. But with Apple incorporating the functionality natively into Messages, they should quickly start to see users migrating towards their version of the service. Across all platforms, peer-to-peer payments are exploding in popularity and Apple’s entry into the segment is just another continuation of that trend.
Peer-to-peer support on iOS will roll out in Fall 2017 alongside iOS 11.