Apple Restores Card Payments for Apple Account Purchases in India

Apple has begun restoring card payments for Apple Account purchases in India more than four years after withdrawing the option. This move is a sign of how the iPhone maker is adapting its services to regulatory changes that have reshaped the country's digital payments sector. The change, which is rolling out in phases, allows users in India to add eligible Visa and Mastercard credit and debit cards to their Apple Account to pay for subscriptions such as iCloud+ and Apple Music, as well as App Store purchases.

In May 2022, Apple suspended card payments in India following changes to the country's recurring payments framework. Since then, users have relied on UPI, India's real-time payments network, net banking, and Apple Account balance for subscriptions and other Apple digital purchases. The move illustrates a broader challenge for Apple as governments around the world impose country-specific rules on digital platforms.

Apple must tailor products, payments, and other services to local regulatory frameworks rather than offer a uniform global experience. Similar pressures have led Apple to revise parts of its App Store business in Europe, while regulatory changes in Japan and South Korea have also reshaped aspects of app distribution and payments. Apple has made the backend changes needed to support card payments under India's regulatory framework, according to a person familiar with the matter.

The phased rollout began recently and is expected to expand to all eligible users over time. Apple has also updated its support documentation to reflect the change. The framework, introduced by the Reserve Bank of India in 2021 and implemented in stages, required merchants and payment providers to introduce stronger customer authentication for recurring card payments and adopt tokenized card credentials.

The transition disrupted subscription billing for many domestic and international companies before they updated their payment systems. "It's long overdue but happening finally. This solves one of the friction points for subscription renewals," said Tarun Pathak, research director at Counterpoint Research.

Apple's services business in India has continued to grow at a double-digit pace despite the lack of direct card payments. Restoring the option becomes increasingly important as the company's installed base expands and more users expect multiple ways to pay, he told TechCrunch. The restoration of card payments is also likely to rekindle speculation about Apple Pay in India.

Media reports have suggested that the company has explored bringing the service to the country. Apple has not announced any plans to launch the mobile payments service in India. Apple did not respond to a request for comments.