Apple is moving closer to launching its digital payments service, Apple Pay, in India, as the iPhone maker works through regulatory approvals and holds discussions with global card networks such as Visa and Mastercard. The company is targeting an initial rollout within the current calendar year, subject to the completion of regulatory processes and the finalisation of commercial agreements.

Apple Pay is operated by Apple Payments Services, a subsidiary of Apple. While the company has not publicly outlined a timeline, industry sources said preparatory work has gathered pace in recent months, signalling a renewed push to bring the service to one of the world’s largest digital payments markets.

Regulatory Path

According to sources, Apple is negotiating commercial terms, including fee structures, with card issuers for access to its payments gateway. Apple Pay currently operates in 89 markets globally and typically earns a small fee from issuing banks for each transaction processed through its platform.

In India, the regulatory landscape for payments is more layered, with distinct rules governing card-based payments, wallets and UPI-linked services. Sources said Apple is working on securing the necessary approvals to enable card tokenisation and near-field communication (NFC)-based payments, which form the backbone of Apple Pay in most markets.

At present, Indian-issued credit and debit cards cannot be added to Apple Wallet, a limitation that Apple will need to address before a local launch. Once enabled, users would be able to store their cards securely on Apple devices and make contactless payments by tapping at compatible point-of-sale terminals.

UPI Integration

As per the industry sources, Apple Pay’s India entry is expected to be phased. The first phase is likely to focus on card-based contactless payments using NFC technology. A subsequent phase could explore integration with UPI India’s dominant real-time payments system.

However, Apple is unlikely to apply for a third-party application provider licence for UPI in the initial stage. The UPI framework involves a separate regulatory approval process and a payments architecture that differs significantly from card-based systems. Any UPI integration would therefore require additional clearances and technical alignment with the National Payments Corporation of India and partner banks.

Business Standard first reported the development on January 21.

If and when Apple Pay integrates UPI, it would place the company in more direct competition with established players such as Google Pay, PhonePe and Paytm, which dominate everyday retail payments through QR codes and bank-to-bank transfers.

Competition and Market Context

Apple’s push into digital payments comes as rivals strengthen their own offerings. Samsung already operates Samsung Wallet in India, which was launched in 2022 and brings together payments, cards and other services within Samsung’s ecosystem. The platform has gained traction after adding UPI-based payments, allowing users to transact directly through the app.

UPI continues to dominate India’s digital payments landscape, accounting for the bulk of retail transactions by volume. Cards, prepaid payment instruments and wallets play a smaller but still significant role, particularly in organised retail and higher-value transactions where contactless payments are common.

Apple Pay’s emphasis on security, device-level integration and privacy could help it carve out a niche among iPhone users, even in a UPI-first market. The service uses tokenisation and biometric authentication, such as Face ID and Touch ID, to authorise transactions.

Apple’s Expanding Footprint in India

The timing of the Apple Pay push also aligns with Apple’s growing presence in India’s smartphone market. The company recorded its highest-ever iPhone shipments in the country in 2025, with its volume market share estimated at around 9–10 percent, placing it among the top five smartphone brands.

Analysts say Apple’s expanding installed base provides a ready audience for localised services. India has emerged as one of Apple’s most important growth markets, not just for hardware but increasingly for services.

Industry observers note that Indian consumers are already deeply familiar with digital payments, which could reduce friction in onboarding Apple Pay users. In anticipation of Apple Pay’s entry, several Indian fintech firms began integrating support for the service in 2025 to enable international transactions for merchants serving overseas customers.

If regulatory approvals and commercial agreements fall into place, Apple Pay’s launch could mark a significant expansion of Apple’s services play in India, adding payments to an ecosystem that increasingly extends beyond devices.

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