Apple to ‘Wallop’ Competition with New Buy Now Pay Later Service

When a big tech firm enters a new market, it's safe to assume that competitors are going to have a bad day.

Apple has officially entered the “buy now, pay later” market with a new service that some analysts predict will “wallop” the competition.

There’s nothing worse for business than a big name entering your industry. Whether it be Amazon acquiring Whole Foods or Microsoft acquiring OpenAI, massive tech firms embarking on new markets can have a dire impact on small competitors.

That’s why “buy now, pay later” services are shuddering with the news that Apple has launched its own service in US this week.

Apple Announces BNPL Service

Apple announced on Tuesday that it would launch its own “buy now, pay later” (BNPL) solution. The new service would allow users to get small (between $50 and $1,000) loans for online and in-app purchases on Apple devices like iPhones and iPads.

“There’s no one-size-fits-all approach when it comes to how people manage their finances. Many people are looking for flexible payment options, which is why we’re excited to provide our users with Apple Pay Later. It was designed with our users’ financial health in mind, so it has no fees and no interest, and can be used and managed within Wallet, making it easier for consumers to make informed and responsible borrowing decisions.” – Jennifer Bailey, vice president of Apple Pay and Apple Wallet.

The service will only work with merchants that accept Apple Pay, but considering 85% of US merchants do, that shouldn’t be too large a barrier to entry.

Random users are already being randomly selected to take part in the prerelease of the service, with all US users getting access soon.

Is Apple Poised to ‘Wallop’ Its BNPL Competition?

There’s always a bit of concern when a tech firm enters a new market, but it doesn’t always work out in favor of the big guys. Unfortunately, experts note that, in this case, Apple is likely going to run away with the gold on this one.

“Apple Pay Later will absolutely wallop some of the other players. Other companies would’ve taken a look at Apple’s announcement today because they are an ubiquitous name. This will take a bite out of the market share of other players.” – Danni Hewson, head of financial analysis at AJ Bell.

Simply put, Apple already has such a robust infrastructure of hardware and software to support this kind of loan system. Combine that with the fact that Apple Pay is becoming increasingly popular across the US, and it’s safe to assume that Apple will quicky become the go-to option for buying now and paying later.

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Written by:
Conor is the Lead Writer for For the last six years, he’s covered everything from tech news and product reviews to digital marketing trends and business tech innovations. He's written guest posts for the likes of Forbes, Chase, WeWork, and many others, covering tech trends, business resources, and everything in between. He's also participated in events for SXSW, Tech in Motion, and General Assembly, to name a few. He also cannot pronounce the word "colloquially" correctly. You can email Conor at
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