Apple Pay Octopus and the iOS 12.1.3 Release Window

UPDATE: Apple Pay Octopus is coming with iOS 13

Note: For simplicity and convenience I have migrated and merged older Octopus related posts here. All new Octopus related developments will be posted separately.

JR East posted a special maintenance schedule this month for Mobile Suica on 1/15, 1/22 and 1/28. The work appears concentrated on the Suica Recharge backend which hopefully points to improved Apple Pay Suica Recharge performance.

I think it also points to something else: a iOS 12.1.3 release with Apple Pay Octopus/Hong Kong transit directions for Apple Maps service around January 29 Cupertino time, early am January 30 in Hong Kong. The timing fits with a full beta test cycle wrap up but more importantly it fits as a kickoff for the Chinese New Year vacation period, good news for an important market to Tim Cook who desperately needs some good news right now.

Go for it Tim! It will undoubtedly help Apple sell more global FeliCa iPhones because Octopus on Apple Pay is a great marketing angle for the iPhone XR/XS models with Express Card power reserve and bulletproofed FeliCa performance. I have yet to experience a single Apple Pay Suica gate error from my iPhone XS with daily use since the launch date.

UPDATE
It occurred to me after posting the above that Apple has introduced transit cards and the technology behind them with larger point releases: iOS 10.1 for Suica (FeliCa) and iOS 11.3 for Beijing and Shanghai Transit cards (Apple flavored PBOC 2.0 ED/EP). In this scenario iOS 12.2 is the logical starting point for Octopus on Apple Pay. However, Octopus is FeliCa which has been part of Apple Pay for over 2 years, Apple has ample engineering and testing experience with the technology to add Octopus with a smaller point release, or none at all which was the case with contactless student ID cards.

UPDATE 2
The original source reports pointed to an end of January rollout, now that iOS 12.1.3 is released we will see how it plays out between now and iOS 12.2. Considering the Apple Pay Suica launch meltdown on iOS 10.1 update day, Apple would be wise to launch on a quiet network day as Apple Pay Octopus day 1 user additions will far outstrip any regular credit card Apple Pay rollout, the use profile for prepaid transit cards is very different.

UPDATE 3
It looks like we’ll have to wait a while longer for Octopus on Apple Pay.

Advertisements

iOS 12.1.2 Apple Pay Suica Performance Issues

No sooner than Apple issued the iOS 12.1.2 update that JR East pushed out a Suica system notice in their iOS Suica App: When Suica Balance Fails to Update. I guess this really means that Apple still hasn’t fixed iOS 12 Apple Pay Suica performance issues for everybody. My experience with iOS 12.1.2 on iPhone XS has been good so far but it takes time to find out what Suica performance on any iOS release really is. Whatever the case may be, fixing dead Suica notifications and a lost Suica Balance is very simple.

Put Suica in Service Mode and let your device sit for 10~15 seconds, then quit Apple Pay or simply put the screen to sleep. A Suica Notification will then appear with the updated Suica balance. Let’s hope that Apple’s New Year resolution list includes quickly fixing Apple Pay Suica performance issues.


Apple Pay Drove FeliCa Contactless Growth in 2018

The CreditCard no Yomimono site (CCY) has collected and listed all the FeliCa contactless card issued to date numbers released by Japanese companies in 2018 into one convenient table. WAON is missing because AEON didn’t release any numbers this year, CCY estimates WAON card numbers at 70 million . The numbers are fairly recent and roughly inline with the Japanese fiscal year through early 2018. They are very interesting but as CCY points out the number of issued cards does not always translate into actual use: previous surveys indicate that Rakuten Edy is used much less frequently than Suica at the cash register.

Prepaid Transit IC cards (Suica, PASMO, etc.) are by far the largest at 143,700,000 which means that every person in Japan has at least one. CCY also notes the explosive 51% growth rate of QUICPay which they attribute to Apple Pay. This is one half of the story. JCB has certainly done an excellent job of working with Apple Pay but I suspect another reason is that Japanese Apple Pay Suica users switched from using Japanese issue VISA cards that don’t support Apple Pay Suica recharge in favor of QUICPay cards like JCB VIEW that do.

Any way you look at the numbers one thing is clear: prepaid cards are far more popular than credit cards for contactless payments in Japan. The huge installed base of Transit IC cards also bodes well for the Super Suica card that will integrate them into a single format for plastic issue and mobile hosting in early 2021.

More Apple Pay Octopus

UPDATE: Apple Pay Octopus is coming with iOS 13

Note: For simplicity and convenience I have migrated and merged older Octopus related posts here. All new Octopus related developments will be posted separately.

I assumed the Octopus Coming to Apple Pay post would be ignored in the end of year rush period. However the timing perfectly coincided with an Octopus Cards Limited press conference where the CEO demurred any Octopus tie-up with Apple and the post got much more attention than I ever anticipated. Obviously there are lots of iPhone users in Hong Kong who want Apple Pay Octopus. A few readers were confused by the situation and asked for some clarification.

First of all the source who correctly predicted last years Smart Octopus on Samsung Pay launch tipped me about the Apple Pay launch. That in itself was enough for me but here’s the thing: if Octopus Cards Limited (OCL) is really serious about expanding Octopus use on mobile platforms, taking the next step of getting Octopus on Apple Pay is the only way to achieve that.

Digital Wallets like Apple Pay and Samsung Pay are the most tightly integrated NFC software and hardware digital wallet platforms out there with integrated FeliCa, but Apple is the only one to implement the necessary Secure Element on their own A Series/S Series hardware with FeliCa Networks keys, and sell the package globally. All the major NFC technologies are standard on Apple Pay: NFC A-B-F, EMV, FeliCa, MIFARE, VAS.

Octopus on Google Pay might look nice on paper but it can’t achieve anything of scale yet because of the highly fragmented nature of Android: to date hardware manufacturers have yet to produce an answer to Apple’s global FeliCa iPhone and Apple Watch, even though everybody’s smartphone has a NFC A-B-F chip. Not even Google has pulled it off. Huawei says they are planning to add global Felica but it will take time.

OCL is playing coy because majority shareholder Hong Kong MTR has added QR Codes and EMV contactless to the transit gate mix removing the exclusive Octopus Card franchise, but the technology and market politics don’t mesh. On one hand you have a fast, established and ‘open’ in-house contactless payment system (as in anybody can buy a plastic Octopus card and ride) basically run by public transit companies. On the other hand you have slow and ‘closed’ contactless payment systems (as in only people with certified credit cards and bank accounts can ride) run by major outside credit/debit network companies chipping off money from both customers and transit companies.

In this context putting Octopus on Apple Pay isn’t just adding a card to a digital wallet platform, it is also a statement of who ultimately controls, operates and benefits from the public transit gates. It’s more about market politics than technology, in other words another battle in the contactless payment turf wars. The outcome will be fascinating to watch but determines whether Octopus will remain a great transit payment platform for Hong Kong with a future, or not.

Update
It looks like we’ll have to wait a while longer for Octopus on Apple Pay.

iOS 12.1.1 Suica Express Transit Performance

Apple has never issued an iOS update that specifically mentions Suica or Express Transit Card performance, so each update becomes a guessing game of what’s fixed and what’s not. iOS 12.1.1 was released December 6 in Japan and there has been very little mention of Suica performance on Twitter. Not necessarily a good thing, if performance has changed dramatically, good or bad, people tweet about it.

I reached out to a few trusty Revision B iPhone X Suica user sources. They report no change from the buggy Suica performance they’ve experienced since upgrading to iOS 12. A few iPhone 8 users have also complained about buggy Suica performance. My experience with Suica Express Transit on iPhone XS continues to be excellent though Apple Pay Suica recharge performance is poor when recharging from a Suica notification short cut.

Here’s the iOS 12.1.1 performance score as I see it:

  • Suica Express Transit performance on pre A12 Bionic iPhone: B-
    • Occasional error flicker at transit gates
    • Unresponsive Apple Pay Suica recharge, 50% failure rate when recharging via Suica notifications
  • Suica Express Transit performance on A12 Bionic iPhone: A-
    • Unresponsive Apple Pay Suica recharge, 50% failure rate when recharging via Suica notifications

As pointed out in earlier posts Suica Express Card with power reserve on A12 Bionic is a significant departure from previous devices both in operation and performance. Also the iOS 12 Suica Express Card error flicker issue is a iOS 12 software issue that is completely different from the iPhone X Suica NFC hardware problem.

The quick summary is that Suica Express Card performance has not improved from iOS 12.1. We’ll have to wait until iOS 12.1.2 and try again.