The European Commission has sent a “statement of objection” to Apple over its alleged anti-competitive practices regarding NFC input for payments. In the statement, the EU noted that it takes issue with Apple’s decision to block third-party apps from accessing NFC input for contactless payments on its devices.
According to the statement, the European Commission “Apple conveyed its initial view that it had abused its dominant position in the markets for mobile wallets on iOS devices. By limiting access to the standard technology used for contactless payments, Apple restricts competition in the mobile wallet market on iOS.
The EU further adds that Apple’s decision to limit access to NFC for contactless payments benefits its own mobile payment solution, Apple Pay, and has an exclusionary effect on competitors. “Mobile wallets on iPhones lead to less innovation and fewer options for consumers.”
It’s worth noting that the EU statement only marks the initial, formal status of the antitrust proceedings against Apple. Apple still has a chance to respond to the EU allegations, either in writing or at a hearing before representatives of the Commission and national competition authorities.
The European Union has also clarified that this Statement of Objections does not “Without the online restrictions nor the alleged denial of access to Apple Pay for specific products of competitors, the Commission announced that it was concerned on 16 June 2020 upon conducting a thorough investigation of Apple’s practices with respect to Apple Pay. “
The EU statement comes just months after Apple announced new functionality for its Tap to Pay feature, which will let iPhone users accept contactless payments in the US.
Should Apple be forced to provide access to NFC input to third-party payment apps for contactless payments on iPhones? why or why not? Let us know in the comments section below.
Source: The European Commission