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Apple Pay Transactions Increased Exponentially

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Apple Pay added 27 US banks in January 2017

Apple Pay (AAPL) has been expanding rapidly and recently added 27 US (SPY) banks in January 2017 to support its mobile payment service. Apple Pay now has over 1,700 card issuers in the United States.

According to a February 8, 2017, report by AppleInsider, “Apple’s near-field communication and [web-based] digital payments product has grown rapidly [since] release with recent launches in Japan and, more recently, Spain.”

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Jennifer Bailey, VP of Apple Pay, stated that 35% of retailers in the US in 4 million locations accept the mobile payment service. Apple expects this number to rise to 67% in 2017 as retail giants like Gap (GPS) start accepting Apple Pay. Apple has also partnered with companies such as Starbucks (SBUX), ExxonMobil (XOM), and Best Buy (BBY) for its Apple Pay business.

Apple Pay transactions rise 500% YoY

Driven by global expansion, Apple Pay transactions have increased 500% YoY in fiscal 4Q16 and fiscal 1Q17. According to a research report from analytics firm SimilarTech, Apple (AAPL) is ranked fifth in the Web payments industry.

While Apple leads Google (GOOG) (GOOGL) and Amazon (AMZN), it is still behind market leader PayPal (PYPL) in the Web payments space.

The report states that Apple Pay is supported on more than 1,000 sites after it debuted in September 2015.

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