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Apple and Disney Stores upgrading iBeacons and NFC scanners ahead of iPhone 6 launch

iPhone 6

Apple and longtime partner Disney this week are bolstering their stores with upgraded versions of iBeacon sensors and NFC readers, according to sources. Apple Stores have had iBeacons stationed throughout showroom floors for several months as a way to pinpoint exactly where a customer is within the store. This allows Apple to better serve customers by providing relevant sales information to their iPhones and iPads while in the store. The upgrades happening this week within Apple Stores place several new Gimbal Series 20 Proximity Beacons across stores to make location tracking within the store even more accurate.

In addition to providing relevant information for the Apple Store app, iBeacons can be useful for NFC mobile payment technologies as a form of authentication. If Apple knows where a customer is in the store to a precise degree, it can ensure that is it wirelessly connecting to the correct iPhone for mobile payments. As has been widely reported, the new iPhone 6 and upcoming Apple wearable device will include new wireless sensors (including a near field communication chipset) to conduct mobile payments with credit cards stored in an upgraded Passbook application.

We’ve also received an unconfirmed tip that Apple is preparing to roll out an in-house designed and developed iBeacon sensor for future installation in its own stores. It is also possible that Apple could sell or provide these beacons to retailers in an effort to get them to sign up with Apple for the upcoming iPhone-based mobile payments service. Earlier this year, we reported that an FCC filing from Apple shed light on the upcoming debut of a Cupertino, California-designed iBeacon transmitter. The aforementioned unconfirmed tip indicates that the device looks like a white puck, sports a rechargeable internal battery, has a micro-USB port, and is 3/4-inch thick and 4-inches across in size.

Earlier this year, Apple deployed new EasyPay devices to its retail store staff that support NFC. Combined with new NFC-capable payment processors and upgraded iBeacon systems within stores, it appears that Apple is making preparations to launch its iPhone-based mobile payments service in the near future.

DIsney

Speaking of NFC, sources at Disney tell us that the entire chain of stores is being equipped this week with new credit card machines that support NFC. It’s unconfirmed if the Disney NFC installations are related to the upcoming iPhone 6 launch, but given that Disney is a close partner with Apple (CEO Bob Iger sits on Apple’s board, for example), it’s possible that this is more than just a coincidence. Similarly, as we reported last week, major fast food chain McDonalds has begun installing NFC-based credit card machines in many franchises, so it’s possible that McDonalds will also be an Apple mobile payments launch partner.

We first reported in May that Apple is preparing to launch an iPhone and iTunes-based mobile payments service, and that Apple executives were discussing plans with high profile retailers. Other reports have indicated that major sales chain Nordstrom and pharmacies CVS and Walgreens are on-board with Apple as launch partners. To develop its mobile payments service, Apple assembled a team of former payments industry executives from JP Morgan Chase, eBay, and Visa, according to sources. Apple will announce the new iPhones, mobile payments service, and its new wearable device on Tuesday, September 9th, and we’ll have full coverage of all of the Apple announcements, so stay tuned.

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Comments

  1. ismail icin (@swedish_i2) - 10 years ago

    new world order is coming.

  2. Xavier Poirot (@dalaen) - 10 years ago

    This is getting very exciting.

  3. Mustafa Gerçek - 10 years ago

    question is: how will Europe and China deal with this payment system. Especially the European Union is known to make trouble…

    • tjbenton - 10 years ago

      It’s already here. Has been for years.

    • Dan Smith (@dansmith1357) - 10 years ago

      I can’t speak on behalf of the rest of Europe, but the UK is already adopting NFC payments via contactless debit cards at a very fast rate. Most places in London now accept contactless NFC transactions for purchases under £20, as well as the Tube and London Buses. All McDonalds stores already have the kit set up in the UK too!

    • Stefan Amann - 10 years ago

      NFC is very common here in Europe (especially Austria, Switzerland). I haven’t seen any iBacons yet, but NFC is nearly in every store available.

      • Mmmmmmm iBacons, they sound lovely with my iEggs and iSausages in the morning. It can be a full iEnglish Breakfast. iEnglish Pro adds iBeans and iToast. Plus a years subscription to iJuice.

      • Stefan Amann - 10 years ago

        Well, Matthew.. my fault ;) but I would really try an iEgg with some iBeans ;)

      • picknicker1971 - 10 years ago

        Switzerland is not EU.
        Haven’t seen any NFC in any store in Europe so far…

    • Palle Arentoft (@PalleA) - 10 years ago

      NFC is very much alive in Europe – In Denmark you can pay your lunch in company cantinas with your Samsung NFC smartphone ;.) or using a small token. All you have to is to deposit 25/50 EUR or US Dollars.

      In Retail stores it is possible to purchase with your NFC Phone (amounts up to 25 EUR/ 32 dollars).

      Apple is so far behind – So I myself is going to upgrade my workphone Nokia Lumia 920 to the new Iphone 6 (I do have a private Iphone 5S).

    • Most cards in the UK have have an NFC chip in them and you can pay for a maximum of £20 at a large amount of stores. As far as I’m aware the London underground uses Dutch NFC chips for travel cards from NXP.

    • Max Mars (@devianter) - 10 years ago

      Because it’s not called NFC in Europe. It’s just Mastercard PayPass or Visa PayWave. They promote it as “contactless payment, no swipe”. That’s it. I have a Mastercard PassPay that was issued like a year and a half ago, and all McDonalds’s, for example, have already had those specials POSes for at least a year.. I recently paid with it in RoadHouse Grill (a chain in Italy, just like the one that used to operate in US) and other places as well. It’s there, people just don’t know what it is, how to use it ecc. Just try typing MasterCard NFC and see what you get.

    • feyip - 10 years ago

      VISA have been using contactless for years. As this – http://www.visaeurope.com/en/newsroom/news/articles/2012/idoc.ashx?docid=6e7bfb51-9fb2-4677-8dcc-6a14f16c9c7c&version=-1 – shows, there were 40 million contactless cards across Europe in 2012. That figure hasn’t got less.
      Next week contactless credit/debit cards will be natively accepted on the London Tube, having already arrived on the buses.
      The real question is, why is America the last major market to still use the old-fashioned swipe-and-sign system (a big reason why almost half the world’s credit card fraud happens in America), and how long will it take to adopt the new system?

  4. iSRS - 10 years ago

    So, the inclusion of iTunes makes me wonder…

    If I have, say, a $100 iTunes account credit (from the purchase of an iTunes gift card) will that be used up first? I am guessing no. But would be interesting.

    • jedwards87 - 10 years ago

      Good question. I am assuming for purchases outside of iTunes, an iTunes gift card would not work. Your not purchasing directly from Apple, just using Apple/iTunes to process the charge. Of course I know nothing about how all of this works so I am probably completely wrong…lol.

      • iSRS - 10 years ago

        I’m guessing that, too. Would be crazy to think I could get an iTunes gift card on sale and use that to buy something at the Disney Store…

    • Jonny - 10 years ago

      iBank accounts

  5. juancastim135 - 10 years ago

    The in house iBeacon could be to ensure security in payments made through iPhone and provide a cheaper, MFI device for stores

  6. PMZanetti - 10 years ago

    For all the shopping people do at Disney stores….

    • Well, if they expand it to their theme parks… then yes. The last thing you want to do at DisneyLand or California Adventure is wait in line, (which is why they have FastPass for rides) so if they can make lines in stores and restaurants within the parks and Downtown Disney faster, then it could have a big impact the overall experience.

      • PMZanetti - 10 years ago

        Let’s not kid ourselves. There is nothing measurably “faster” about paying with your phone vs. paying with your card.

        It’s merely “more convenient”, or so I’m told, than using the simple old plastic.

      • Max Mars (@devianter) - 10 years ago

        @PMZanetti. Maybe in America, cause you have to just swipe. In Europe you have to type your pin code.

      • Tom Adams - 10 years ago

        Its a hell of a lot faster to tap than it is to insert your card and enter your pin, or swipe and sign. Basically everywhere in Canada already has terminals that accept tap to pay and its an extreme amount faster than inserting your card, pressing a bunch of buttons, entering your pin, waiting to make sure it was accepted before removing your card. The whole process takes literally 2 seconds with tap to pay vs a minute with chip and pin

      • herb02135go - 10 years ago

        In the US there are still people who can’t figure out how to use their credit card or enter their PIN.

        And they are always in line in front of me.

        NFC may speed up the process for a small number of consumers but, face it, this is not being done for the benefit of consumers.

    • Tom Adams - 10 years ago

      Disney World has already converted their entire park to operating with contactless wrist bands and cards. I am not sure if NFC and RFID are the same thing however Disney World already has everything on either short range or long range RFID. You get into your room, pay for everything, get into the parks, use your fast passes etc all with short range RFID. They also track your movements around the park with long range sensors (only work with the bands not with the cards) which is used in a restaurant there so you can order your meal in advance and then when you get there they just find you and bring you what you had ordered from home based on long range RFID readers and iPod touches that the servers carry around to direct them to your table

  7. Stetson - 10 years ago

    This is especially interesting as Disney has their own NFC system at their Disney World parks with wristbands (magic bands) that act as park tickets, room keys, and payment at all of the on-property stores and restaurants.

    I wonder if Apple’s new device will also work with that system at Disney stores and parks? That along with the ability to write apps could make for some pretty cool integration.

    • As I understand it, that is still only available at DisneyWorld in the US – and you have to stay at a Disney Resort. iPhone integration would allow them to expand the service to all park attendees. Not to mention with the iPhone they could allow for advanced check-in and improve the check-in experience like Hilton. Not to mention the savings by having fewer clerks working the desk.

      • Stetson - 10 years ago

        Yep. You can buy the bands yourself in the parks but you get them for free when staying at a Disney World resort. They’ve been experimenting with completely online check-in at certain resorts as well.

        Right now wandering around the parks is a combination of using the Phone app to set up your plans and ride passes and then using the display-less band to check in and make payments. An actual smart watch with a screen could show your passes, itinerary, room info, and directions as well.

        Disney is rolling this stuff out now but it could have applications for many other places. It could end up being a lot more than just mobile payments.

  8. “If Apple knows where a customer is in the store to a precise degree, it can ensure that is it wirelessly connecting to the correct iPhone for mobile payments.”

    What is this kind of bulls*** to tell people???
    1: Wifi & BT location is so slow, there is NO guarentee to where the device is, unless you stanb still in over 1 minut!
    Apple’s WiFi location only test on time each minut – iBeacons might be a bit more, but you don’t have triangulation between iBeacons (are WiFi AP’s for that matter!)

    2: iBeacon ID’s are easily facked – there is NO way to guarentee anything, less if you want to make payments based on it!!!!

    3: iBeacons a PASSIVE – everything happens in an App os the OS, but look at #1 & 2.

    iBeacons can HELP give you an idea about where the devices was at some point, within the last minut or 5… and how long can YOU walk in 1-5 minuts???

  9. reececonrad - 10 years ago

    All I have to say is that I live in a small town in the US and I’ve noticed that every single major retailer in my town has updated their credit/debit card readers in the past month. I think it took about 3 days to change every one in town (gas station teller, wal-mart, dollar store, wallgreens, pizza hut, mc donalds, etc. All of them. They now all look like this VeriFone machine (except without the NFC addition on the top). I’m betting if things take off as apple plans, 2 days max to go in and attach NFC module to all of them. Boom, every store in my little town USA uses iPhone mobile payments.

  10. thebasicmind - 10 years ago

    Odd that they are using NFC. There is no need for it when you have iBeacons deployed and smart devices. This indicates the credit card companies Apple have partnered with have settled on NFC as a lowest common denominator solution and Apple have had to accept it.

    • Court Kizer - 10 years ago

      iBeacon (Bluetooth LE) requires power and takes a few milliseconds for exchange. NFC has to be much closer proximity (less chance of getting charged across the room by a hacker) and happens instantly.

      I love iBeacon but it feels sometimes like it flaky and doesn’t always see the bluetooth signal or I’m waiting on it to show up. NFC is completely passive and works just like turning on a light switch. They will make a great combo!

    • Stetson - 10 years ago

      Yeah, companies all over have been accepting NFC as the new standard, especially in Europe and Canada. I’m glad that Apple is embracing it and putting their own spin on it rather than trying to push an incompatible standard.

  11. Laughing_Boy48 - 10 years ago

    All the pieces are in place. The iPhone 6 is the latter day Enola Gay for dropping a nuclear bomb on Samsung, Google and Android in one lightning strike. I’m especially looking forward to see Samsung go up in a virtual cloud of smoke and ash as it scrambles to duplicate Apple’s 800 million iTunes credit card accounts.

    • Yeah although Apple have gotten a bit sloppy with the design (I say this having owned every single iPhone since the original iPhone was released). Those antenna bands on the back are hideous and they could have used the same antenna band and glass panel combination as the iPhone 5/5S and it would have looked a lot better.

      Right now it looks like a surgeon rammed a stick of butter under a models eyelids, covered the other one with an eyepatch and flung her down a runway naked wearing Birkenstocks.

    • Tom Adams - 10 years ago

      it will be especially funny when samsung tries to copy based on their own fingerprint reader and people who use it think to themselves, wow this sucks the thing never gets my finger right on the first try

    • herb02135go - 10 years ago

      Do you really think promoting violence is appropriate?

      • *Whoosh* that one went right over your head… they are both inappropriate. Either way real people have done a lot worse than a written piece of fiction.

  12. D.A.H. Trump - 10 years ago

    Soon, will the iPhone be the key to your car?

  13. Patrick Wang (@junesix) - 10 years ago

    Don’t forget TouchID. TouchID + NFC would provide an unprecedented level of authentication and security for transactions. Add in an Apple wearable as an optional auth point and Apple would have it made for solid security – proximity (NFC), biometric (TouchID), and additional proximity (wearable) – all without having to enter a PIN. No other payments provider could come close to this combo.

    Square and Paypal/eBay are chasing portable swipe and other smartphone providers were looking at TouchID as a phone unlock gimmick. Payments and multi-point identity verification is the real end game.