Apple’s Deal With Goldman Has Wall Street on Defense

Apple and Goldman need each other if they are going to burrow deeper into consumer banking

Apple said iPhone revenue dropped 15% in the fiscal first quarter, causing a drop in both revenue and earnings amid a matured smartphone market and a slowdown in its service business. WSJ's Lee Hawkins reports. Photo by Justin Lane/EPA-EFE/Shutterstock

Liz Hoffman,

Peter Rudegeair and

Tripp Mickle

Feb. 25, 2019 7:00 a.m. ET

Apple Inc. executives came to a group of big banks in 2017 with a problem.

The technology giant had been relying on a patchwork of smaller banks to allow Apple’s customers to lease iPhones, store cash in digital wallets and text money to friends. Apple wanted a new partner to rethink the business, according to people familiar with the process.

Citigroup...

Apple\'s Deal With Goldman Has Wall Street on Defense