Technologies
Apple Pay Later Rolls Out on iPhones. Here’s What It Means for You
Select users can now quickly finance purchases up to $1,000.
Apple has thrown its hat into the buy now, pay later ring. Its long-awaited Apple Pay Later service was “prereleased” this week, but only for “select users.”Â
Originally, Apple Pay Later was supposed to roll out at the end of 2022, after it was announced at Apple’s WWDC event last year. However, the product’s launch was delayed due to “significant technical and engineering challenges,” per Bloomberg.Â
Apple’s new payment service comes at a time when many retailers are accepting payments from BNPL apps such as Affirm, Klarna and Afterpay. Here’s what you need to know about the payment plan, how it works and when it will be open to all iPhone users.
For more on iPhones, learn all the cool new features in iOS 16.4 and 22 iPhone settings you should change right now.Â
How do I use Apple Pay Later?
Apple Pay Later lets you break the cost of purchases into four equal payments spread over six weeks. The first payment is due when you make your purchase, and the remaining payments are due every two weeks after that.
Once Apple Pay Later is set up on your phone, you have two options when completing a purchase: Pay in Full and Pay Later. Selecting the latter option will bring up a payment schedule displaying the amount of each of the four payments and when they’ll be due.
A sample payment schedule on Apple Pay.
AppleStores and merchants don’t have to implement any changes in order to accept payments through Apple Pay Later. Transactions occur as they did before — the only difference will lie in how back-end payments are made. Apple Pay Later will work with any merchants who accept Apple Pay.
MasterCard Installments, the credit card company’s white-label BNPL service, is providing the merchant payments for Apple Pay Later. Apple has created its own financial subsidiary — Apple Financing — that handles loan approvals and credit checks. Banking partner Goldman Sachs is the official loan issuer.
Payments for Apple Pay Later must be made with a debit card; you can’t use a credit card. You can set up automatic payments or make additional payments at any time. Each BNPL purchase will be reviewed and approved or rejected using a soft credit check.
Apple Pay Later has no plan to charge fees for late payments, though it may use late payments as an excuse to reject future BNPL loans. The minimum purchase for Apple Pay Later is $50; the maximum is $1,000.
When can I use Apple Pay Later on my iPhone?
If you’re one of the “select users” to receive an invite from Apple, you can start using Apple Pay Later now. For the rest of us, based on the wording in Apple’s press release, Apple Pay Later will likely be enabled for all Apple Wallet users in a future update to iOS.
Apple has already released four point upgrades since iOS 16 launched in September 2022. The first update — iOS 16.1 — came in October 2022; the second — iOS 16.2 in December 2022; the third — iOS 16.3 — in January 2023; and the fourth —Â iOS 16.4 — in March 2023.Â
Based on that bimonthly release schedule, all Apple Wallet users can probably expect access to Apple Pay Later some time in May 2023.
How is Apple Pay Later different from Apple Card Monthly Installments?
Apple Card Monthly Installments is an Apple program that lets you finance the purchase of certain Apple products when using the Apple Card credit card. The length of the 0% APR period for these purchases depends on the product. Installment plans range from six months to two years.
Apple Pay Later isn’t restricted to Apple products, nor does it require the use of the Apple Card. With Apple Pay Later, you can finance any purchases from $50 to $1,000 using a debit card, as long as it’s connected to Apple Wallet. Also, the interest-free installment period for Apple Pay Later — six weeks — is much shorter than the payment plans offered by Apple Card Monthly Installments.
What other Apple Wallet features were added in iOS 16?
One new Apple Wallet feature that launched with iOS 16 is Apple Pay Order Tracking, which adds the ability for merchants to provide detailed receipts and delivery statuses for purchased products to customers via Apple Wallet.Â
Apple also expanded support in Apple Wallet for driver’s licenses and identification cards. Following IDs from Colorado and Arizona, Apple Wallet plans to add support for 11 more states.


You can now digitize and store your driver’s license in Apple’s Wallet app.
AppleThese driver’s licenses can be used at select Transportation Security Agency checkpoints. They can also be shared with other apps that require identification, such as alcohol purchases through Uber Eats.
Apple Wallet has also added support for sharing keys for locations such as hotels, offices or automobiles. New features let users share keys with friends or associates using email, text messaging or other messaging apps.
What other online services let you buy now and pay later?
Some existing online payment systems provide buy now, pay later short-term financing similar to what Apple Pay Later is offering. PayPal’s Pay in 4 program works very much like Apple Pay Later, except that purchases are limited to between $300 and $1,500.
BNPL app Sezzle also uses a system of four payments over six weeks, but permits users to reschedule one payment for up to two weeks later at no cost and postpone further payments for an additional fee.
Other BNPL apps such as Affirm and Klarna offer interest-free installment plans for short periods, or longer installment plans that add a variable interest rate.
Technologies
Apple and Meta team up to make Muse AI model run on Mac computers
Apple and Meta are collaborating to make Muse Spark Open easier to run locally on clustered Mac Studio systems, according to the companies.
Tim Cook and Mark Zuckerberg have clashed for years, but with John Ternus taking the reins at Apple
Meta
The collaboration centers on Muse Spark Open, the most capable open-weight model released under a license that allows for limited commercial use, according to Meta. Itâs an 816-billion-parameter model using a so-called mixture-of-experts architecture. As an open-weight model, developers can download the technologyâs parameters, or weights, from the internet and run the model on a wide range of hardware.
Customers will be able to pair between two and four Mac Studio PCs to use Muse Spark to code, analyze video or do other agentic work. The model runs locally, instead of in the cloud, adding a layer of security and saving users money, the companies said.
Thursdayâs announcement, following months of collaboration, is a sign that the AI boom has shifted historical alliances in Silicon Valley. For years, Apple and Meta regarded each other warily and avoided public partnerships, and the relationship hit rock bottom after Apple introduced privacy changes in 2021 that limited the targeting capabilities of digital ad companies.
Meta estimated in early 2022 that the change would cut its revenue that year by $10 billion.
Representatives from Apple and Meta declined to say if the Muse Spark Open collaboration was the start of a deeper relationship.
Zuckerberg posted a picture on X showing the Meta agent working on a Mac computer. He wrote, âMuse Spark Open — weights releasing today — runs great on new Mac Studios thanks to work with @johnternus and Apple.â
Ternus responded, âCongrats to the team! Amazing to run a model of Muse Spark Openâs caliber and scale this efficiently, right from your desk. Mac Studio keeps pushing the boundaries of on-device AI!â
Meta AI chief Alexandr Wang said in an interview that many powerful open-weight models are too big to be run on the majority of personal computers, but Appleâs Mac Studios make enough memory available to users so that itâs practical to run Muse Spark Open.
The move represents an important show of confidence in Metaâs rebooted AI efforts and could pose a challenge to OpenAI and Anthropic. It could also signal Appleâs growing strength in AI chips, a market that Nvidia
âłWe worked with Apple to bring leading Agent capabilities to your desktop for the first time on the Apple M5 Ultra Mac Studios, so you know weâre really excited about this,â Wang said. Developers can download a version of the AI model from websites like Hugging Face without extra configuration for Appleâs silicon.
Muse Spark Open has also been tuned to run faster on Appleâs hardware, and the iPhone maker revealed new benchmarks for its chips and published technical documentation about its MLX AI frameworkâs ability to split open-source models across multiple machines.
Mac Studios arenât cheap though, and this AI model requires the fastest Apple chips and as much memory as possible.
Currently, a Mac Studio with the required M5 Ultra chip and 256GB of memory costs at least $10,799. A more expensive version with 512GB of RAM will be released later this month.
Plus, users will need to buy multiple machines.
Common ground on open source
The two companies are collaborating on open-source AI, which has become a point of contention in Washington as politicians worry that free Chinese models could undercut American AI.
Although Meta once centered its AI strategy on its older open-weight Llama family of models, it has since focused on creating proprietary models under the leadership of Wang, who joined Meta when the company invested more than $14 billion into his former startup Scale AI last year.
While Apple and Meta, then known as Facebook, partnered on iPhone extensions over a decade ago, they havenât struck any public partnerships since 2017 after Apple removed system-level Facebook integration from the iPhone.
âMost of the animosity predates my tenure at the company, but obviously thereâs been a long history between Meta and Apple,â Wang said, pointing to one member of his team, AI researcher and former Apple director Daniel Gross, as a reason for the collaboration. Gross, along with former GitHub CEO Nat Friedman, was a major Zuckerberg hire last year as the Facebook founder was overhauling his companyâs AI strategy.
Their leaders have also traded harsh words.
Cook, who was Apple CEO until Ternus succeeded him last month, took a shot at Zuckerberg in 2018, during the Cambridge Analytica scandal, saying, âI wouldnât be in this situation.â Cook often criticized Meta for compromising user privacy.
Ternus, a hardware engineer, has already started changing things at Apple, including when it releases products.
And Metaâs developers havenât been able to resist Appleâs products. The company bought hundreds of Mac computers so its Superintelligence team could experiment with local AI and agents earlier this year.
Appleâs multiple partners
Meta is just the latest AI model developer to team up with Apple.
In 2024, Apple announced a partnership with OpenAI to integrate ChatGPT into Siri, although the integration âdramatically underperformedâ and didnât lead to OpenAI user growth, OpenAI said in a filing thatâs part of a legal dispute with Elon Muskâs xAI. Apple sued OpenAI in July, alleging trade secret theft, a claim OpenAI denied.
Earlier this year, Apple announced a deal with Google
Still, Appleâs AI strategy has drawn criticism from investors and customers in part because its new version of Siri, released last month, isnât as advanced as chatbots and agents from leading labs.
Meanwhile, Meta has bet big on becoming a leading lab but has struggled to keep up with the competition and its business remains almost entirely reliant on ads. Recent developments, such as Metaâs Muse personal agent app and its latest proprietary foundation model, Muse Wonder, released earlier this week, have begun to excite investors who are optimistic about new AI business opportunities.
Open source remains part of Zuckerbergâs AI strategy. In August, Meta debuted a small open-weight AI model dubbed Muse Glimmer, with Zuckerberg pledging to eventually release something bigger and more powerful.
Muse Spark Open isnât as advanced as Muse Wonder, a proprietary offering, but Wang said itâs good enough to potentially entice more coders to upgrade.
âThese arenât the most capable models that weâve developed or released,â Wang said. âBut we think that there will be a lot of companies and developers who sort of use this model and tinker with it at small scale and then seek to ramp up and scale up their usage.â
WATCH: Apple makes its biggest smart-home push yet under CEO John Ternus.
Technologies
CoreWeave credit default swaps hit distress levels as investors sour on AI debt
Signs of distressed deepened in CoreWeave on Thursday.
CoreWeaveâs credit stress continued to spiral on Thursday amid a broader sell-off in AI-related names.
CoreWeave â a so-called neocloud company â has taken on more than $51 billion of debt and obligations to finance its AI infrastructure build-out. Itâs now facing a rebellion from stock and bond investors as concerns mount about AI overspending and debt levels.
Yields on CoreWeave debt have continued to climb, with the yield to maturity on its 9.75% bond due in 2031 reaching 15.78%. Bond yields move inversely to prices. Meanwhile, the spread on its five-year credit default swaps, which are insurance against default, at one point soared above 1,140 basis points. It last stood at nearly 1,038 bps â a 16% week-over-week jump and 164% higher than a year ago.
Credit concerns are spreading into AI equities too. CoreWeaveâs stock dropped during trading Thursday before recovering and closing 5.94% higher. The moved followed Wednesdayâs 15.5% nosedive.
Other neocloud stocks were under similar pressure. Nebius also sank before climbing higher to close 1.29% and and Iren ultimately ended the day down less than 1%.
Anxiety about AI overspending is also spreading. For instance, shares of Micron Technology and Advanced Micro Devices sold off following a big sell-off in South Korean chip stocks. Micron closed up 1.87%, while AMD fell 1.5%.
While AI debt worries have been rising steadily, investors have suddenly grown skittish about the underlying finances of companies borrowing heavily to buy chips, build data centers, and rent out computing power.
Coreweaveâs credit default swaps are one place to see that stress.
Credit default swaps are contracts where buyers pay for protection in case the borrower canât repay its debt. The spread widening in CoreWeaveâs CDS means investors view the debt as riskier.
The market is âbasically saying âno masâ to AI debt without operating cash flow support,â the Evercore ISI trading desk said.
A spread level of 1,000 basis points or above is generally a sign of credit distress, said Gavan Nolan, executive director of fixed income pricing at S&P Global Market Intelligence.
No one is questioning whether demand for CoreWeaveâs services is real, since the company has contracts with all the big hyperscalers, Nolan said. The question is whether the cash flows will ultimately arrive.
âItâs obviously heavily negative free cash flow at the moment, and it needs that cash flow to arrive really to justify all the capex that itâs spending,â Nolan said.
âSelf-fulfilling prophecyâ
CEO Mike Intrator dismissed the market moves on Wednesday, according to a memo obtained by CNBC.
âWhen you are building a new type of technology company there will be periods of time when the market misunderstands and acts irrationally,â he wrote. âWe are confident in our backlog which more than supports all of our debt obligations.â
The backlog is over $100 billion, with around two-thirds of it with investment-grade counterparts including Microsoft, Meta, IBM and Caterpillar, Deutsche Bank said in a note Thursday. The firm reiterated its buy-rating on the stock Wednesday, calling the dislocation a buying opportunity.
âThe problem is this kind of concern can prove to be a self-fulfilling prophecy, and risks triggering broader issues in other AI-related names,â said Jim Reid, global head of macro and thematic research.
Domino effects may already be happening. Oracleâs five-year CDS spread also spiked this week. It was last at 282 basis points, a roughly 10% increase in one week.
âA downgrade from its BBB rating would risk pressuring IG-only investors into forced sales,â Reid said.
Technologies
Netflix Chief Content Officer Bela Bajaria is leaving, will be replaced by Peter Rice
Netflix announced Bela Bajaria will be replaced by former Disney exec Peter Rice as the company’s chief content officer.
Netflix on Thursday announced Bela Bajaria will be replaced as the companyâs chief content officer by former Disney exec Peter Rice, effective Oct. 26.
Rice most recently oversaw Disneyâs cable channels, news programming and coverage of major sporting events.
âPeter is one of the most effective at-scale operators in the entertainment industry,â co-CEO Ted Sarandos said in a statement. âIâm excited to welcome him to Netflix as Chief Content Officer as we continue to scale and deliver members more of the stories they love.â
Before Rice was at Disney, he held roles 21st Century Fox and Fox Searchlight Pictures. Netflix in its announcement called him âone of the entertainment industryâs most respected creative executives.â In his new role, Rice will oversee the companyâs global content organization, including scripted and unscripted series, film and live events.
âł[Netflix has] shown again and again that theyâre willing to take chances on distinctive voices and fresh ideas, and Iâm excited to work with the team to help bring even more great stories to members everywhere,â he said in a statement.
Bajaria, who is leaving Netflix after nearly 10 years, most recently worked as the companyâs global content team. She had been focused on the companyâs live sports strategy, looking to create events out of buzzy games and tournaments.
âIâm incredibly grateful for everything sheâs done to help Netflix entertain the world,â Sarandos said in a statement.
The announcement comes a day after Netflix instituted layoffs across its organization, eliminating approximately 6% of its workforce, or roughly 1,000 jobs.
The media company will report its next quarterly earnings on Tuesday.
This is breaking news. Please refresh for updates.
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