PayPal, Apple Reach Truce and Will Accept Each Other’s Products

Starting next year, PayPal and Venmo debit cards will be accepted inside the Apple Wallet.

Starting next year, PayPal and Venmo debit cards will be accepted inside the Apple Wallet, (REUTERS)

PayPal Holdings Inc. announced it has reached a truce with Apple Inc. and the two technology giants will begin accepting each other's products in their separate payment ecosystems.

Starting next year, PayPal and Venmo debit cards will be accepted inside the Apple Wallet, meaning consumers will be able to use them anywhere Apple Pay is accepted, PayPal said Thursday in a statement. PayPal will also add Apple Pay as an option in the company's checkout offerings.

Previously, PayPal and Venmo's cards weren't available in Apple's mobile wallet. PayPal and Apple offer the most widely used mobile wallets in the US and have seen usage of their products explode since the start of the pandemic.

“We're very pleased to be working with Apple to enhance our offerings for our PayPal and Venmo merchants and consumers,” PayPal Chief Executive Officer Dan Schulman said in the statement.

PayPal will also use Apple's new tap-to-pay technology, meaning its merchant customers will no longer need a special dongle to be able to accept debit and credit cards and will instead be able to use the PayPal or Venmo app.