Following its report last week alleging that Apple and Alibaba are currently ironing out specifics of an upcoming Apple Pay partnership in China, The Wall Street Journal on Monday published an interview with Alibaba CEO Jack Ma who explained why such a deal would be hugely beneficial to the iPhone maker.
Long story short, the Apple-Alibaba deal would help avoid any regulatory scrutiny that Apple would be subjected to as a new financial player in China.
Following reports that Apple CEO Tim Cook during last month’s visit to China discussed a rumored mobile payments partnership with UnionPay, The Wall Street Journal said Tuesday that the Cupertino firm met with Alibaba’s Jack Ma to reportedly iron out an Apple Pay alliance with the popular Chinese e-commerce company.
This could give Apple Pay a major boost in the 1.4 billion people country. Alibaba, founded in 1999, is the world’s largest online marketplace and has a commanding 80 percent market share in the country.
The company raised a whopping $231 billion during its initial public offering. Cook at the WSJ Digital conference last month hinted (the full uncut interview now available) that his company was in talks with Alibaba regarding partnering on Apple Pay.