Apple Developing In-House Tech Infrastructure Around Financial Services: Here's What You Need To Know

Fresh after acquiring United Kingdom-based Credit Kudos, it was revealed that Apple Inc AAPL is developing technology infrastructures around financial services.

What To Know: The consumer brand is looking to bring fintech in-house and potentially lower its reliance on existing financial services partners.

The project, codenamed “Breakout,” is focused on payments, fraud, risk assessments for lending, improved customer service, and credit checking, among other things.

Apple is also working on a subscription service and “buy now, pay later” offer tied to Apple Pay purchases. Consumers will be able to split large purchases into smaller payments over short- and longer-term horizons.

Why It Matters: The project builds on Apple’s existing financial services offerings such as Apple Card and Apple Pay, helping it further embed itself into more consumers’ lives.

Though partners like Goldman Sachs Group Inc GS, CoreCard Corporation CCRD, and Green Dot Corporation GDOT will remain on board for current products, they all traded down alongside the news.

Other brands like Meta Platforms Inc FB and Alphabet Inc’s GOOGL GOOG are also taking up fintech initiatives with Meta developing its own cryptocurrency.

Photo courtesy: Apple