The two giant pharmacy chains are the latest retailers linked to Apple's new venture, which multiple reports suggest will be announced on Sept. 9.
Last week it was American Express. Now, add CVS and Walgreens. According to reports, the three companies are signing on with Apple’s mobile payment system – which does not yet have an official name or has been formally launched. However, it is said to be among the major announcements – along with two variants of the iPhone 6 and the iWatch – to be made by Apple at its Sept. 9 event.
Citing “a person briefed on the plans,” Re/Code reported CVS and Walgreens will accept purchases on the new iPhone 6 payment system, which may use near field technology (NFC) combined with fingerprint identification, a security feature already available on the iPhone.
NFC technology allows users to simply tap their iPhones at point-of-purchase, eliminating the need for cash, credit or debit cards. The information from the cards will be stored in Apple’s ‘digital wallet’ similar to how iTunes accounts work. With card data saved after a customer’s input, buying a song takes a few clicks.
Neither Walgreens nor CVS had any comment on their participation, with a CVS spokesman telling Re/Code: “We don’t know what Apple may be planning in terms of a payment system so it is not possible for us to say whether it is something our stores may be able to accept.”
It’s generally believed that Apple’s mobile payment system will use NFC technology, but Re/Code also reported that it’s sources say “additional wireless technologies either in conjunction with, or in place of, NFC” may be used. Re/Code also points out that if CVS’ participation questions the chain’s commitment to a different mobile payment system, called MCX, that a number of retail chains, including Walmart and Target, have worked towards. MCX would rely on barcode scanning instead of NFC technology.
With the recent iCloud security breach, in which a hacker accessed and publicly released private photos of various celebrities, Apple’s security measures have faced increased scrutiny. For example, with the news of CVS and Walgreens deal, the UK Register questioned whether Apple will integrate the HealthKit system with the data from the pharmacy purchases.
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