Apple Pay Allegedly Built on Stolen Tech — So Much for Think Different

Things are not looking good for Apple at the moment. Several AI researchers are leaving the company due to alleged loss of confidence. It is already grappling with the potential impact of the 50% tariffs announced on Indian imports. To make matters worse, it is now facing a lawsuit accusing the company of using trade secrets to develop Apple Pay.

Apple Pay was developed by stealing trade secrets, claims the lawsuit

A Texas-based company, Fintiv, has filed a lawsuit against the Cupertino-based tech giant. The firm alleges that Apple has stolen its technology to design and develop Apple Pay.

The lawsuit was made public this Saturday. And as per it, several key features used by Apple in its digital wallet are based on the tech originally developed by a firm, namely ‘CorFire,’ which was later taken over by Fintiv in 2014. However, it is not as straightforward as it seems. Apple held a series of meetings with CorFire in the year 2011 and 2012. It then signed a nondisclosure agreement to use its tech in Apple Pay.

Fintiv alleges that Apple used trade secrets to benefit itself

Now coming down to the main allegation, Fintiv claims that Apple later used the technology and trade secrets of the firm to launch its Apple Pay in the market. It also reportedly took the help of the CorFire employees by offering them juicy compensation. This is not where it ends; the complaint also alleges Apple leads an informal racketeering enterprise. It uses Apple Pay to generate fees for multiple bank credit card users.

Fintiv adds in the complaint, “This is a case of corporate theft and racketeering of monumental proportions,” enabling Cupertino, California-based Apple to generate billions of dollars of revenue without paying Fintiv “a single penny.”

One of the federal judges of the Atlanta Court dismissed the petition on August 4. However, the complainant says that it will soon file an appeal on the existing record.