CNET News Video
Federal government to start accepting Apple Pay in fallApple CEO Tim Cook announces at a White House-sponsored cybersecurity summit that Apple Pay will be available for some transactions with the federal government starting in September. It may some day be integrated with Social Security.
We have the ability to protect people from this growing threat. With Apple Pay, we put in place a mobile payment system that is significantly more secure than the old day of the plastic card and the magnetic stripe. This is another product where security wasn't an afterthought. Security was part of the reason we developed the technology in the first place. You see Apple Pay starts with the premise that your credit card information and, and purchases are personal to you and they should stay that way. When you add a card to Apple Pay, your actual credit card numbers are never stored in your device. Or on our servers. Instead, for every payment, we create a unique one time code that is only good for that one transaction from your device. Your purchases are private and we don't store the details of those transactions. They remain between you, the merchant, and your bank. We don't know your credit card number or what you bought, or how much you paid. And we don't want to. Just three months after we launched, over 2,000 banks have signed on to bring Apple Pay to millions of their customers. And today, we're excited to announce that beginning in September, Apple Pay will be available for many transactions. With the federal government. Like for example, when you pay for admission to your favorite national park. We're also working to make sure credit and procurement issued to government employees for their expenses can be used with Apple Pay. And we're working on initiatives with leading banks and networks. To use this technology would benefit programs like Social Security and veterans' pensions that serve citizens at both the state and federal level. We can imagine a day in the not-so-distant future when your wallet becomes a remnant of the past. Your passport, your driver's license, and other important documents can be digitally stored in a way that's safe, secure, and easy to access. But only by you. After all, we shouldn't have to trade our security for the convenience of having all of this information at our fingertips. When a system is designed properly, security and convenience can actually work in harmony.