PayPal questions Apple Pay security in new ad, uses iCloud celebrity photo debacle as ammunition

in General Discussion edited September 2014
Ahead of Apple's Apple Pay release, mobile and online payments stalwart PayPal on Monday took out a full-page ad in The New York Times, warning consumers of Apple's security practices by alluding to the recent leak of photos stolen from celebrity iCloud accounts.

Click image for full ad. | Source: PandoDaily

As seen above, the ad's tagline reads, "We the people want our money safer than our selfies. PayPal, protecting the people economy," specifically referencing the recent kerfuffle surrounding what Apple framed as a "targeted attack" against iCloud accounts belonging to celebrity iOS device users.

PandoDaily, which first reported on the ad, notes PayPal has ratcheted up criticism of Apple's first foray into payments since the system debuted at the iPhone 6 unveiling last week. Specifically, the company's senior director of communication Rob Skinner took a pot shot at issues with the event's live stream broadcast, saying, "Nobody can dispute Apple's strong track record, but payments is a difficult area. It's much more difficult to do payments than to keep a live stream working!"

Ironically, "PayPal company" Braintree recently announced support for Apple Pay processing with its SDK, which allows vendors to accept a variety of payment methods, from credit cards and debit cards to digital currency like Bitcoin. The firm also announced compatibility for PayPal One Touch mobile payments through the consumer-facing Venmo app.

Apple Pay is seen as a direct competitor to long-standing payments systems like PayPal. By joining NFC technology with the Touch ID fingerprint sensor and secure enclave found in the iPhone 6 and iPhone 6 Plus, Apple's payments system can securely store credit card information onboard for later use at supported point-of-sale terminals. Further, Apple Pay payments are tokenized, meaning no card holder information is transmitted in the process, only special crypto codes dynamically generated via the iPhone's secure enclave.

The iPhone 6 and 6 Plus will be the first devices to offer Apple Pay when they launch this Friday, but support for the payments solution has already been announced for Apple Watch, the company's wearable device due out in early 2015. In theory, the NFC-equipped watch will be able to make payments using older generation iPhone models like the iPhone 5s, though specific compatibility has yet to be announced.


  • Reply 1 of 143
    Oh, it's on now!
    I can't wait to not need PayPal...
  • Reply 2 of 143

    Sounds like PayPal may be a little worried...

  • Reply 3 of 143

    ROFLMAO ... PayPal!! 

  • Reply 4 of 143

    I like Apple. I like PayPal. Apple should buy PayPal. Would make me happy.:D

  • Reply 5 of 143

    Paypal protecting the people economy. 


    Are they talking about slavery?  That sentence doesn't even make sense.

  • Reply 6 of 143
    1) It would appear that PayPal and Samsung use the same ad agency.

    2) Here’s where I think PayPal is doing it wrong. Apple just showed everyone how to do it right, but that’s with NFC which PayPal doesn’t use Sure, they have debit card with MC or Visa on it but that still goes through the multinational bank before hitting PayPal which may or may not pull funds from another bank, but we're talking directly. PayPal should be taking Apple’s lead by building off this concept by having a coordinating a representational card number as a secure token for [I]each and every[/I] internet site one wishes to make purchase. This could be a way for PayPal to be relevant. I hope they are at least looking into the possibility… for their sake, as I personally don't care if PayPal lives or dies.
  • Reply 7 of 143
    EBay just embraced defeat while kicking and screaming it's PayPal service to the grave.

    PayPal: A service embroiled with insecurity and controversy throwing stones is pure hubris.
  • Reply 8 of 143
    Pathetic... And i like PayPal...
    But these negative campaigns tactics are the biggest turn off..
    Hey pay pal.. Rise above .. Dont drag others down to apear above them.
    Class matters !
  • Reply 9 of 143
    By "We the people" are they referring to all the "Nigerian princes" that use PayPal to scam people?!?
  • Reply 10 of 143
    nagrommenagromme Posts: 2,834member
    What's the percent breakdown? How many of these celebrity photos were stolen from iCloud vs. Android vs. Picasa vs. Dropbox vs. Microsoft vs. Flickr vs. others? All I've seen is people falsely pretending it was Apple-specific.

    And we know the Find my iPhone rate-limiting flaw (recently patched) was NOT involved.

    We also know the photo thefts were not one single "leak" event at all, but years of work by a criminal network. (The "leak" was someone letting the already-stolen photos OUT of the secret network.)

    And we know the Apple's TouchID based security for PayPal, with one-time tokens, is entirely unrelated to someone guessing your iCloud password or security answers because you're a celebrity worth targetting.

    When you rely on lies and ignorance to prop up a terrible service, you know you're in trouble!
  • Reply 11 of 143
    rob53rob53 Posts: 3,233member

    And we all know PayPal has never had a security breach. ;-)


    I also love their professional advertisement. Makes me really feel warm and fuzzy. /s

  • Reply 12 of 143

    It sounds like I will stop using PayPal if they don't cut it out. 

  • Reply 13 of 143

    Paypal Just Sealed Fate.  But seriously its seems like an amateur move.  They are no more vulnerable than anyone else to top skill hackers.  In fact, Paypal is a scam-haven these days outside of eBay. :\ 

  • Reply 14 of 143
    Where are the - It is good for innovation! - people?

    PayPal is panicking?
    Technology IS people, that is WHY it fail sometimes.
    I doubt you will want technology to be completely autonomous, do you?
  • Reply 15 of 143
    New ad category: Panic Ads. An innovation by Samsung now adopted by PayPal.
  • Reply 16 of 143
    Desperation is a stinky cologne.
  • Reply 17 of 143
  • Reply 18 of 143
    I wouldn't be making remarks like that PayPal. Hackers love a challenge. This is like saying "hack me if you dare".

    Good luck With that.
  • Reply 19 of 143
    I doubt you will want technology to be completely autonomous, do you?

    I do, Poster 182305-15.
  • Reply 20 of 143
    PayPal is completely full of shit. I, for one, intend on drinking several quality beers in celebration the day Apple buries their sword in PayPal's neck.
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