Apple's Next Smart Move Could Be Adding Touch ID, Apple Pay, To OS X Yosemite

At Apple's iPhone 6 launch last month, where the company also first demonstrated mobile payment platform Apple Pay, Apple said a version of the digital wallet would be available in October.
Apple’s next event is Oct. 16 and, in addition to a potential Apple Pay rollout, the company is widely expected to unveil new iPads featuring Touch ID, new Macs, and the long-awaited Apple desktop operating system, OS X Yosemite.

Partners and analysts have said it also would make sense for Apple to release an iOS 8 update at the event, presumed to be iOS 8.1, that would include the Apple Pay platform.

"I wonder, given the timing, will they declare Apple Pay ready for prime time? It coincides with when they said Apple Pay will be available," said Michael Oh, CEO of Tech Superpowers, an Apple partner based in Boston. "I also wonder if there is an Apple Pay component with Yosemite or the laptops. I didn't think Touch ID had any relevance on Macs or MacBooks, but now you have Apple Pay that can be used like PayPal on e-commerce sites. There is a reason to put Touch ID on desktop keyboards and laptops."

Related: Apple Partners Expect Touch ID On iPads Oct. 16

"We're hoping to see about the new iPad lineup and any exciting new products on the Mac side. Traditionally, this is the time of the year that they do that," said Raul De Arriz, national government sales manager for Apple specialist Small Dog Electronics, Waitsfield, Vt.. "Apple is coming on strong, so I wouldn't be surprised to see some surprises at the next announcement. Probably on the iPad, but maybe the Mac side as well. ... I would not be surprised if there is an update to iOS. If they deliver new iPads, then the next iOS rev will be then."

"If Apple wants to make Apple Pay better, simpler and more widespread, why not put it on all of their products?" said James Wester, research director of global payments for IDC Financial Insights. "Biometrics is a really cool way to get rid of the username and password and avoids filling out card expiration dates and billing addresses. That makes it easier for payments and is also more secure. Pricing models are tied to cards being present and cards not being present. How assured are you that the person accessing this account is the right person? With biometrics, there is no question. It proves the person who is attached to this device is attached to an account. If you add biometrics to a computer, yes, that would be a smart thing to do. It changes the way you purchase things pretty drastically."

Mobile payments eventually will take off, according to Wester, and from Apple's perspective the platform is about strengthening its ecosystem and delivering the latest and greatest to its user base. The best way to have wider adoption of Apple Pay is to make it available on all Apple products, including OS X devices, which would require OS X Yosemite to adopt Touch ID.

"Apple is imagining a world where when you pay for something online, next to the MasterCard and Visa card logos, you'll also see the Apple logo," said Tech Superpowers' Oh. "That is what they are going after. That part of it, I think, is generally underestimated or undervalued. If you've got tens of millions of devices with Apple Pay and Touch ID capabilities on them, in six months that will really crack open this ecosystem for them. I'll be interested to see if it'll be anything along those lines announced next week because it sort of makes sense. The more money they can drive on Apple Pay on e-commerce, the better it is for Apple, so why wouldn't they do it?"

PUBLISHED OCT. 8, 2014