A Texas company has sued Apple, accusing the tech giant of stealing its mobile wallet technology to create Apple Pay, one of the most widely used payment systems globally.

Fintiv, based in Austin, claims that Apple copied key features from CorFire, a company it acquired in 2014, whose technology now powers hundreds of millions of Apple devices like iPhones, iPads, Apple Watches, and MacBooks.

According to the lawsuit, Apple met with CorFire in 2011 and 2012 under nondisclosure agreements to discuss licensing the technology. Instead, Apple allegedly utilised the technology and recruited CorFire employees to develop and launch Apple Pay in the US and other countries, starting in 2014, without paying Fintiv.

Fintiv also accuses Apple of running an informal racketeering scheme by using Apple Pay to generate fees for major banks and payment networks, including Bank of America, JPMorgan Chase, Visa, and Mastercard, while denying Fintiv any revenue share.

The complaint calls this “corporate theft and racketeering of monumental proportions” and seeks damages for violations of trade secret and anti-racketeering laws.

Apple has not commented on the lawsuit. In a related case, a federal judge recently dismissed Fintiv’s patent infringement lawsuit against Apple, but Fintiv plans to appeal.

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