Leaks suggest Apple Cash switching to Visa

According to Mac Rumors, Apple is now opening new Apple Cash virtual debit cards with Visa. Apple Cash has historically partnered with Green Dot Bank and operated on the Discover network.

Why should we care?
As Apple gears up to launch its in-house suite of financial products, these new developments may signal which companies Apple views as promising partners while it expands its fintech efforts. And though Apple hopes to compete against Square by letting Apple products (like iPhones) function as POS terminals, this alliance with Visa suggests Apple doesn’t want to square off against Visa in the card-network game—at least for now. With its sights set on lending and credit in addition to other financial systems, Apple may view a cards showdown as a distraction from more profitable ventures. Instead, as long as Apple steers away from directly competing with Visa, its new fintech strategy can take advantage of Visa’s larger network as compared to Discover’s, growing its market share in the process.