JPMorgan Nears Deal to Take Over Apple Card as Goldman Sachs Exits Amid Significant Losses

JPMorgan Chase is in advanced negotiations to assume control of Apple Inc.’s credit card program, potentially replacing Goldman Sachs as the financial partner for the Apple Card, according to sources familiar with the discussions [1][3][10]. The Apple Card, launched in 2019, currently carries approximately $20 billion in outstanding balances [1], though the final terms of the deal remain unconfirmed. Goldman Sachs, which co-launched the program, cited operational challenges and evolving priorities as reasons for its exit, with a spokesperson stating, “Regrettably, we are stepping back from the Apple Card partnership due to significant losses” [2].

The shift reflects broader strategic realignments within the financial sector. JPMorgan has emerged as the preferred candidate, with reports indicating that the bank and Apple have engaged in negotiations since early 2024 [9]. This partnership would expand JPMorgan’s presence in digital banking, leveraging Apple’s 660 million active Apple Card users [10], while Apple seeks a partner better equipped to manage the program’s growth. Goldman Sachs’ exit aligns with its reported decline in profitability for its consumer banking division, a trend observed in recent quarterly earnings [5].

JPMorgan’s bid reportedly includes commitments to enhance the Apple Card’s features, such as improved rewards programs and expanded financial services [3]. Analysts suggest the deal could strengthen JPMorgan’s position in the fintech space, particularly given its experience managing co-branded cards with Amazon and Costco [6]. However, regulatory hurdles loom, as the Federal Reserve and the Consumer Financial Protection Bureau will likely scrutinize the transaction for compliance with antitrust and consumer protection guidelines [8].

The transition is expected to occur without disruption to cardholders, with JPMorgan planning to integrate the Apple Card into its existing infrastructure [7]. Apple’s leadership, including CEO Tim Cook, has emphasized the potential for “enhanced credit offerings or digital payment functionalities” through the partnership [3]. While the timeline for a final agreement remains uncertain, industry observers anticipate a resolution by the end of the third quarter [9].

Goldman Sachs’ exit underscores challenges in managing high-growth consumer financial products. The bank’s profitability in the Apple Card partnership reportedly declined after initial success, with losses mounting since the program’s inception in 2019 [2]. This aligns with broader industry trends of tech firms seeking greater control over financial services, a strategy also evident in Apple’s ventures into digital wallets and payment platforms [6].

Analysts predict the shift could reshape competitive dynamics in the fintech sector, particularly as JPMorgan’s entry into the Apple Card program may pressure other banks to innovate in co-branded offerings [3]. However, the immediate impact on cryptocurrencies or related assets remains minimal, as the transition focuses on traditional banking infrastructure [1].

Source: [1] JPMorgan Chase Nears a Deal to Take Over Apple's Credit,[https://www.wsj.com/finance/banking/jpmorgan-chase-nears-a-deal-to-take-over-apples-credit-card-program-0bbcdda8?gaa_at=eafs&gaa_n=ASWzDAiruzfMLJr6VhdlxVOYpC5Mr9I-V8CdI5QkyO6b1WNs7BqCi-v2vECa&gaa_sig=gjqh01H39TSSv4YrI1BTfWLWXn-efnK8DHTMSIiBcrcu8kZtjs_QlhxlWGSUanArm9beKwO4LctZ8PL-K0dMbQ%3D%3D&gaa_ts=6889b1e8] [2] JPMorgan Chase Close to Deal Taking Over Apple Card, [https://finance.yahoo.com/news/jpmorgan-chase-close-deal-taking-175705291.html] [3] JPMorgan in Talks to Replace Goldman Sachs on Apple, [https://www.bloomberg.com/news/articles/2025-07-29/jpmorgan-in-advanced-talks-to-replace-goldman-on-apple-card] [4] JPMorgan Chase and Apple Near Deal on Credit Card, [https://www.pymnts.com/apple/2025/jpmorgan-chase-and-apple-near-deal-on-credit-card-partnership/] [5] JPMorgan Chase is nearing a deal to replace Goldman, [https://www.nbclosangeles.com/news/business/money-report/jpmorgan-chase-is-nearing-a-deal-to-replace-goldman-sachs-as-apple-card-issuer-sources-say/3755376/?os&ref=app] [6] JPMorgan Chase Poised To Become Apple's New Credit, [https://finance.yahoo.com/news/jpmorgan-chase-poised-become-apples-200030780.html] [7] JPMorgan Chase nears a deal to replace Goldman Sachs, [https://macdailynews.com/2025/07/29/jpmorgan-chase-nears-a-deal-to-replace-goldman-sachs-on-apple-card/] [8] JPMorgan Chase in Talks to Take Over Apple's Credit Card, [https://www.msn.com/en-us/money/topstocks/jpmorgan-chase-in-talks-to-take-over-apple-s-credit-card-program-report-says/ar-AA1Jwshb] [9] A New Apple Card Partnership Could Be Just Around, [https://www.idropnews.com/news/a-new-apple-card-partnership-could-be-just-around-the-corner/251228/] [10] JPMorgan Chase nears a deal to take over Apple's credit, [https://www.livemint.com/global/jpmorgan-chase-nears-a-deal-to-take-over-apple-s-credit-card-program-1175****896173.html].