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US Government Inks Mobile Payment Deal with Apple

mobile device managementThe U.S. government has signed a deal with Apple Inc. that authorizes federal employees to process government purchases using the Cupertino, California-based company’s mobile payment system, FedScoop reported Friday.

Wyatt Kash writes Apple CEO Tim Cook announced during a cybersecurity summit at Stanford University that the government will begin to use the Apple Pay system in September through the General Service Administration‘s SmartPay program.

The report also cited a White House briefing document released in conjunction with the summit that outlines financial services companies, industry, retail and advocacy groups’ commitment to strengthen financial transaction security.

It says Apple is collaborating with Visa, MasterCard, Comerica Bank and U.S. Bank to offer Apple Pay service as a tokenized, encrypted system for federal payment card users.

Kash writes Square is also working with the Small Business Administration to launch an education program that calls on small businesses to secure their payment systems.

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