Apple has begun reinstating card payments for Apple Account purchases in India more than four years after the option was withdrawn, the latest sign of how the iPhone maker is adapting its services to regulatory changes that have reshaped the country’s digital payments landscape.
The change, which is rolling out gradually, allows users in India to add eligible Visa and Mastercard credit and debit cards to their Apple account to pay for subscriptions like iCloud+ and Apple Music, as well as App Store purchases.
In May 2022, Apple suspended card payments in India following changes to the country’s recurring payments framework. Since then, users have relied on UPI, India’s real-time payment network, net banking and Apple account balance for Apple subscriptions and other digital purchases.
The move points to a broader challenge for Apple as governments around the world impose country-specific rules on digital platforms, increasingly requiring the Cupertino company to tailor products, payments and other services to local regulatory frameworks rather than offering a single global experience. Similar pressures have led Apple to overhaul parts of its App Store operations in Europe, while regulatory changes in Japan and South Korea have also reshaped aspects of app distribution and payments.
Apple has made the backend changes needed to support card payments under India’s regulatory framework, according to a person familiar with the matter. The rolling out has started recently and is expected to be rolled out to all eligible users over time. Apple has too updated its supporting documentation to reflect the change.
the frame, was introduced by the Reserve Bank of India in 2021 and phased in, required merchants and payment providers to introduce stronger customer authentication for recurring card payments and adopt tokenized card credentials while preventing merchants from storing customers’ card details. The transition stopped the subscription fee for many domestic and international companies before they updated their payment systems.
“It’s long overdue, but it’s finally happening. This solves one of the friction points for subscription renewals,” said Tarun Pathak, director of research at Counterpoint Research.
Apple’s services business in India has continued to grow at a double-digit rate despite the lack of instant card payments, but restoring choice is becoming increasingly important as the company’s installed base expands and more users expect multiple payment methods, he told TechCrunch.
The restoration of card payments is also likely to reignite speculation about Apple Pay in India, following media reports that the company has explore bringing the service in the country. Apple has not announced plans to launch its mobile payments service in India.
Apple did not respond to a request for comment.
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