At an event on Tuesday, two new cell phones along with a smart watch were not the only products that were unveiled. On this very same event, Cook announced that Apple (NASDAQ:APPL) was finally going to take part in the mobile payment race with their newest release, the Apple Pay. This system has been under a lot of discussion lately and is predicted to be a great help for the retailers and the consumers in getting over the shell-shock of persisting breaches on personal data and numerous problems of credit card data.

Up until now, the main hurdle in the acceptance of the mobile payment was not the fact that it was not supported by Apple (NASDAQ:APPL). In fact, it was that the consumers did not seem as enthusiastic about it as one would think. It was revealed by a survey that as much as 44 percent people were not happy about using their mobile phones to take care of their payments. The question now, is whether Apple (NASDAQ:APPL) can bring a change in the thinking of this market.

People are also talking about the timing of this particular announcement. The CEO of TSYS and Paul Bridgewater, an executive from the same company, were asked about the timing of this announcement under the light of the recent Depot HD-0.36% breach in data  – considered to be the biggest of its kind in history. According to Mr. Woods – CEO TSYS – the timing of the announcement was quite perfect because he considered Apple pay, along with other similar payment technologies, was a safer option as compared to the credit cards with magnetic stripes.

However, keeping all factors aside, people will still find it hard to trust Apple pay, since it is always a challenge to breakdown the structure and process of new technologies to the masses. The Apple Pay is the first of its kind in Apple (NASDAQ:APPL) – however, the technologies incorporated in this product are already being widely offered to the market by other brands.

Near field communications: Chip that will allow the feature of “tap and go” is referred to as NFC in industry and will be featured for the first time ever in an Apple product, in an Apple iPhone 6 and the watch.

The new iPhone 6 as well as the Apple Watch are carriers of the NFC technology. This chip – which was found to be quite low in standing in terms of reliability, according to a survey – works on a ‘tap and go’ technology. This survey however, was carried out on chief information officers, who are not the targeted costumers for this product. So, it is hard to say at this point, whether everyone else will find it reliable or not.

Tokenization: considering the significance of security this component can be considered to be the most important feature adopted by Apple Pay. The credit numbers of users will be disguised by a set of random numbers – which will be shown to the retailers upon transaction. This number will also be shuffled or changed from time to time. It is highlighted that only the most concerned parties will have the decoded information, while the rest will not be able to undo the encryption.

Apple Inc. (NASDAQ:AAPL)’s Apple Pay is going to be out in the market now, but it is to be duly noted and that numerous other technologies are ready to go – which the retailers are ready to publicize in America.

The most prominent of them without a doubt is EMV technology which is also referred to as chip and the pin; it has been used in Europe for about a decade now. This technology has been a great help in reducing the incidences of card thefts.

Even though an EMV is very good news but there has been a huge increment in the numbers of online frauds and EMV can do nothing about it. The question that is being asked repeatedly is whether the retailers are planning to spend a fortune on NFC; and if that technology is completely fool proof. The answer pointed out by various encryption experts will be “NO”. So Apple Inc. (NASDAQ:AAPL) has its work cut out.

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