Apple’s long-standing feud with the European Commission over its Near-Field Communication (NFC) technology accessibility appears to be edging toward a resolution.
The European Commission has officially recognized Apple’s proposal to open up its NFC technology to third-party mobile wallet providers, potentially concluding a two-year investigation into alleged antitrust violations.
The dispute, instigated by the European Commission in 2020, revolved around concerns that Apple was restricting entry to its NFC technology, thereby fostering an anti-competitive environment for rival mobile wallet developers.
In 2022, the Commission formally accused Apple of breaching European Union antitrust laws.
Rumors of Apple’s proposed compromise started circulating in December 2023, indicating a shift in the company’s stance on third-party access to its payment technology.
The European Commission’s official announcement validates these speculations.
Apple stated, “Through our ongoing discussions with the European Commission, we have offered commitments to provide third-party developers in the European Economic Area with an option that will enable their users to make NFC contactless payments from within their iOS apps, separate from Apple Pay and Apple Wallet.”
Apple’s proposal, if approved, marks a departure from its previous stance that third-party involvement might jeopardize the security of its payment systems.
The key elements of the proposal encompass granting third parties access to NFC functionality through APIs, without the obligation to utilize Apple Pay or its wallet.
Crucially, this access also encompasses technology responsible for safeguarding payment information.
These proposed changes would impact developers and iOS users within the European Economic Area (EEA).
However, individuals outside the EEA might still access third-party apps, potentially hinting at a global influence.
Apple added, “Apple Pay will continue to be a widely available option, and over 3,000 issuing banks across all EEA countries will still be able to offer the unparalleled privacy and security of Apple Pay, as well as its great user experience.”
To address concerns regarding fairness and disputes, Apple has pledged to involve an independent reviewer in cases where the company denies NFC access to a third party.
Despite Apple’s overtures, the European Commission has not hastily embraced the proposed commitments.
Instead, it has outlined the proposed changes and invited feedback from Apple’s competitors and other stakeholders to assess whether the suggested alterations are acceptable.