Apple Pay launched in India in collaboration with Axis Bank

Apple Pay has been officially launched in the Indian market. According to the development reported by TechCrunch, the company has started to introduce its long-awaited payment service to users in the country.

Axis Bank, the country's third largest private sector institution, was selected as the first banking partner of the service. This step means Apple's inclusion in the payment ecosystem in the world's most populous country.

Apple Pay initially only supports cards with Visa and Mastercard logos provided by Axis Bank. RuPay, India's local payment network, is not currently included in the system.

Acceptance of the service is limited to member businesses and payment terminals where the system is activated. Apple states that the service will be accepted at millions of locations such as Blinkit, Croma, Ixigo, Reliance brands, Tata 1mg and Zomato.

The company has partnered with service providers such as Cashfree, JusPay, Mswipe, Paytm, PayU, Pine Labs, Razorpay and Worldline to enable payment acceptance. This extensive network shows that Apple aims to strengthen its business operations in India.

The digital payment market in India is shaped by the government-backed UPI system, which allows money transfers directly between bank accounts. Apple Pay differs from this system with its card-based structure and requires the integration of individual card providers into the system.

Apple's commercial terms cause disagreements with some of the country's largest banks. It is stated that the company charges a fee of approximately 20 basis points, or 0.2 percent, on transactions.

This rate creates a significant cost for banks, considering that the margin in the payment layer is around 0.4 percent to 0.5 percent. It is stated that institutions such as HDFC Bank, ICICI Bank and SBI Card were not included in the launch due to ongoing negotiations on commercial terms.

Although Apple Pay enters a market dominated by UPI in India, the growing number of iPhone users gives the company hope. The fact that iPhone owners generally represent a wealthier segment and are prone to premium credit cards increases the service's adoption potential.

Apple has been steadily increasing its iPhone sales, local manufacturing capacity and retail presence in India. According to Counterpoint Research data, Apple's value in the Indian smartphone market reached 28 percent in 2025.

Although Apple Pay initially appeals to a limited user base, it is an important part of the company's growth strategy in India.