Apple is upgrading its in-store payment system by replacing Bluetooth readers with iPhone 16 units running Tap to Pay on iPhone. According to Bloomberg's Mark Gurman, the company will equip more retail employees with the newer iPhones to streamline transactions, overcoming limitations encountered with the iPhone 14.
From iPhone 14 to iPhone 16 for greater payment reliability
Apple introduced Tap to Pay on iPhone back in 2022, allowing small merchants to accept contactless payments without extra hardware. In Apple Stores, employees previously used iPhone 14 devices with a Bluetooth card reader attached to the back. This setup had issues with metal cards such as American Express Platinum and Chase Sapphire Reserve, making it unreliable. The iPhone 16 improves NFC detection, eliminating the need for separate terminals. According to Apple, the technology uses the same security as Apple Pay and supports credit, debit cards, and other contactless methods.
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iOS 27 introduces Tap to Share to expand functionality
With iOS 27, Tap to Pay on iPhone evolves with Tap to Share, a feature that lets customers share contact details or payment information by simply tapping their devices. This enhancement integrates seamlessly with Apple's new point-of-sale flow, reducing wait times and improving the shopping experience. The expanded use of iPhone 16 in Apple Stores marks a concrete step toward a future without traditional POS terminals.
This move comes as Apple is refreshing its hardware lineup: recently, the company delayed iPhone Ultra pre-orders and disclosed Pro model batteries. Additionally, for bargain hunters, the Apple Watch Ultra 3 is discounted to $660 and the M5 MacBook Air offers $150 savings in summer promotions.
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Impact for consumers and small businesses
This shift is not just about Apple employees: it demonstrates the maturity of Tap to Pay technology, which can be confidently adopted by any business. Small entrepreneurs, especially, can benefit from a system requiring only an iPhone and no extra hardware. The transition helps reduce operating costs and speed up payments, a crucial aspect for SMEs. As highlighted in a recent article, AI is also transforming small businesses, but mobile payments remain a tangible pillar of everyday innovation.
Source: https://www.macrumors.com/2026/07/12/apple-stores-to-expand-tap-to-pay-on-iphone
