Apple Pay forces first split in MCX ranks as Best Buy jumps onboard

MCX, a Walmart-led competitor to Apple Pay, has suffered a big blow with the news that consortium member Best Buy is to begin accepting payments from iPhone-touting consumers in the summer.

2 comments

Apple Pay forces first split in MCX ranks as Best Buy jumps onboard

Editorial

This content has been selected, created and edited by the Finextra editorial team based upon its relevance and interest to our community.

The MCX consortium is currently conducting pilot trials of its own mobile payments app, CurrentC and has relied on exclusivity agreements with member firms to keep out competitive products.

The issue first grabbed the headlines at the launch of Apple's NFC payments app when two MCX-member chains, CVS and Rite Aid, switched off support for Apple Pay after initially accepting it at their terminals.

In lining up alongside Apple, Best Buy says: "Today’s consumers have many different ways to spend their money and we want to give our customers as many options as possible in how they pay for goods and services at Best Buy."

Starting today, Best Buy customers can use Apple Pay to make in-app purchases from an iPhone 6 or iPhone 6 Plus.

All US Best Buy stores will begin accepting Apple Pay later this year, presumably when the retailer's exclusivity deal with MCX expires.

In a statement, MCX chief operating officer Scott Rankin says: "We are of the firm belief that there need to be at least two to three major players within the mobile payments ecosystem for it to succeed. We remain steadfast and passionate about CurrentC, as well as completely focused on delivering the best mobile commerce solution for our merchant partners and for consumers.”

Sponsored [New Report] The Future of UK Fintech: 2015 - 2035 - An IFGS Special Edition - UK Fintech Week 2024

Related Company

Comments: (2)

A Finextra member 

Brings home the importance of getting the launch timing right. Time spent on blocking strategies seems better spent on expediting launch, and across market as a whole.

A Finextra member 

I was always surprised by the idea that major merchants would refuse a payment method and try to dictate to their customers like that. If CurrentC is the best, let it stand alongside its competitors.

It'll be interesting to see if MCX will kick them out or start to realise that they need to stand behind their product and not try to defend it with restrictive practices.

Join us at Money20/20 Europe 2024 - 4-6 June, Amsterdam | Use code FEX200 to save €200 on your tickeFinextra PromotedJoin us at Money20/20 Europe 2024 - 4-6 June, Amsterdam | Use code FEX200 to save €200 on your ticket