Apple, a US tech giant, and Goldman Sachs, an American investment bank, are joining up to launch a new credit card. The novelty which is planned to be released this spring will open up new financial management options for iPhone users in addition to its main functions.
Among the announced new features, Apple Wallet has expenditure targets, income control, and account balance management. The card will work on the basis of Mastercard's payment network and offer cash back of about 2% on most of purchases. Moreover, when paying for Apple services or buying its devices, the cash back will be higher. This partnership is likely to lead credit cards to a new level. Both Apple and Goldman Sachs are interested in it, since they have recently been actively looking for new sources of profits amid a contraction of earnings in the substantive areas of their work. So, Apple is intensively developing its services, while demand for iPhones is declining.
Notably, the revenues from sales of iPhones fell by 15 percent compared to last year, and the quarterly income dropped by 5 percent to $84.3 billion. Meanwhile, Goldman Sachs launched its online consumer bank Marcus in 2016 after facing with a reduction in proceeds from trading transactions. The joint launching of the credit card will be its first experience. According to the sources, the budget allocated for this project is $200 million.