
Previous reports suggested that Apple intends to terminate its Apple Card credit card partnership with Goldman Sachs. Following speculation that Apple might pivot to a collaboration with American Express, new claims have emerged indicating that Visa is preparing to invest $100 million in a bid to secure a partnership with Apple.
Visa is reportedly vying to become the backend transaction network provider for Apple Card, entering into direct competition with American Express and Mastercard.
Historically, while Apple Card’s issuing partner has been Goldman Sachs, the underlying transaction network has been provided by Mastercard. Now, with both Visa and American Express actively pursuing a role in the Apple Card ecosystem, Mastercard is simultaneously making efforts to retain its existing relationship with Apple.
Regarding the issuing bank, following the dissolution of the Goldman Sachs partnership, both JPMorgan Chase and Synchrony Financial are rumored to be in discussions to take over the Apple Card issuance.
Given the iPhone’s commanding market share in the U.S. smartphone landscape, the number of Apple Card applications has grown in tandem. Apple’s ongoing innovations in digital financial services have further amplified transactional revenue potential, making the Apple Card a highly attractive prospect for transaction network providers like Mastercard and issuing banks alike.
Goldman Sachs is believed to be reconsidering its involvement with Apple due to the substantial losses incurred—reportedly in the billions of dollars—stemming from lending-related offerings such as Apple Pay Later. Additionally, the unique fee structure associated with the Apple Card has created internal strain within Goldman Sachs, particularly as the bank failed to persuade Apple to adopt more traditional credit card models for calculating late payment fees and interest.