Apple Pay Vs Google Pay

"Google Pay and Apple Pay started become more popular in Asia, Vietnam. However, the usecase is still very limited. Local wallets such as MoMo, ZaloPay are much more popular. Samsung Pay also invested heavily but the result is not significant. Bank apps are today able to provide most of the features and flexibility of the wallets. So, in ABN's view, the competition is fierce, and the success of either Google Pay or Apple Pay is not guaranteed.

The diagram below shows the differences. Both approaches are very secure, but the implementations are different. To understand the difference, we break down the process into two flows.

1 Registering your credit card flow 2 Basic payment flow

1. The registration flow is represented by steps 1~3 for both cases. The difference is:

Apple Pay: Apple doesn't store any card info. It passes the card info to the bank. Bank returns a token called DAN (device account number) to the iPhone. iPhone then stores DAN into a special hardware chip.

Google Pay: When you register the credit card with Google Pay, the card info is stored in the Google server. Google returns a payment token to the phone.

2. When you click the Pay button on your phone, the basic payment flow starts. Here are the differences: Apple Pay: For iPhone, the e-commerce server passes the DAN to the bank. Google Pay: In the Google Pay case, the e-commerce server passes the payment token to the Google server. Google server looks up the credit card info and passes it to the bank.

In the diagram, the red arrow means the credit card info is available on the public network, although it is encrypted. "

Author

AiUTOMATING PEOPLE, ABN ASIA was founded by people with deep roots in academia, with work experience in the US, Holland, Hungary, Japan, South Korea, Singapore, and Vietnam. ABN Asia is where academia and technology meet opportunity. With our cutting-edge solutions and competent software development services, we're helping businesses level up and take on the global scene. Our commitment: Faster. Better. More reliable. In most cases: Cheaper as well.

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