EU Plans to Hit Apple With Antitrust Charges Over Apple Pay

The European Commission is planning to charge Apple with anticompetitive behavior with regards to Apple Pay, since it is the only payment service that can use the iPhone's Near-Field Communication (NFC) chip, Reuters reports.

apple pay
EU antitrust investigator Margrethe Vestager has been investigating ‌Apple Pay‌ since June last year, but the European Commission has since centered its focus on the NFC chip alone, according to individuals familiar with the matter speaking to Reuters.

The NFC chip in the ‌iPhone‌ and Apple Watch enables tap-and-go contactless payments, but ‌Apple Pay‌ is the only payment service that can use this hardware. On Android devices, multiple payment services can offer contactless payments using the NFC chip, but on the ‌iPhone‌, no rival services are allowed to leverage the NFC hardware.

The Commission's preliminary concerns also reportedly include Apple's terms and conditions on how ‌Apple Pay‌ should be used in merchants' apps and on websites. Concerns may have been raised by ‌Apple Pay‌'s wide reach and better user experience on the ‌iPhone‌ compared to other services, and accelerated by the growth of contactless payments during the global health crisis.

The EU competition enforcer is now believed to be preparing a statement of objections to charge Apple with anticompetitive conduct, which is expected to be sent to the company next year. The antitrust charge could put Apple at risk of a large fine and force it to open the NFC chip to rival payment systems in Europe. Similar investigations have also been opened in Australia.

Note: Due to the political or social nature of the discussion regarding this topic, the discussion thread is located in our Political News forum. All forum members and site visitors are welcome to read and follow the thread, but posting is limited to forum members with at least 100 posts.

Related Roundup: Apple Pay

Popular Stories

Generic iOS 18 Feature Real Mock

Apple Shares Full List of Over 250 New Features and Changes Coming With iOS 18

Wednesday September 11, 2024 7:16 am PDT by
Following its iPhone 16 event on Monday, Apple shared a PDF on its website with a list of all new features and changes coming with iOS 18. The list includes many features that were already announced, including Apple Intelligence, new customization options for the Home Screen and Control Center, a redesigned Photos app, several enhancements to the Messages app, a Passwords app, and more....
iphone 16 pro pro max

First iPhone 16 Carrier Deals Include iPhone 16/16 Pro For Free, $1,000 Off iPhone 16 Pro Max

Monday September 9, 2024 3:18 pm PDT by
Apple today announced the latest lineup of iPhones, including the iPhone 16, iPhone 16 Plus, iPhone 16 Pro, and iPhone 16 Pro Max. Pre-orders for these devices begin September 13, and if you plan on ordering from a cellular carrier in the United States, there will be plenty of options for discounts from the major carriers. AT&T is offering the iPhone 16 and iPhone 16 Pro at no cost with...
iphone 16 pro models 1

Skipping the iPhone 16 Pro? Here's What's Rumored for iPhone 17 Pro

Wednesday September 11, 2024 8:20 am PDT by
Will you be skipping the iPhone 16 Pro and waiting another year to upgrade? If so, we already have some iPhone 17 Pro rumors for you. Below, we recap key new features rumored for the iPhone 17 Pro models so far: 24MP front camera for all iPhone 17 models: All four iPhone 17 models will feature an upgraded 24-megapixel front-facing camera, according to Apple supply chain analysts Ming-Chi...
iphone 16 lineup colors

Apple Discontinues iPhone 15 Pro, iPhone 15 Pro Max and iPhone 13

Monday September 9, 2024 2:09 pm PDT by
With the launch of the new iPhone 16, iPhone 16 Plus, iPhone 16 Pro, and iPhone 16 Pro Max, Apple has discontinued some of its older iPhones. As of today, Apple is no longer selling the iPhone 13, and the iPhone 15 Pro and iPhone 15 Pro Max have been replaced with the iPhone 16 Pro and iPhone 16 Pro Max. The iPhone SE remains as Apple's most affordable device, with the iPhone 14 and iPhone...
16 pro

Apple Announces iPhone 16 Pro and iPhone 16 Pro Max with Larger Displays, New Camera Control, and More

Monday September 9, 2024 11:13 am PDT by
Apple today announced the iPhone 16 Pro and iPhone 16 Pro Max—its latest flagship smartphones—featuring larger displays, an all-new Camera Control button, and the A18 Pro chip. The iPhone 16 Pro has a 6.3-inch display, while the iPhone 16 Pro Max features a 6.9-inch display—the biggest iPhone display ever. The borders around the display are the thinnest of any Apple device. The...
airpods pro 2 pink

Apple Releases New AirPods Pro 2 Firmware With Support for iOS 18 Features

Tuesday September 10, 2024 11:40 am PDT by
Apple today released a new firmware update for the AirPods Pro 2, including both the Lightning and USB-C versions. The firmware has a build number of 7A294, up from 6F8, and it is available for all AirPods Pro 2 users. Apple has been beta testing this update, but it is launching ahead of when iOS 18 becomes available next Monday. There are multiple features that Apple is adding to the...
maxresdefault

Everything Apple Announced at Today's Event in 13 Minutes

Monday September 9, 2024 6:02 pm PDT by
Apple today held the "It's Glowtime" fall event to debut new iPhone 16 models, a new version of the Apple Watch, new AirPods, and more. It took Apple more than an hour and a half to introduce the new devices, but we've recapped everything in a quick 13 minute video for our readers who want a short but detailed overview of what's new. Subscribe to the MacRumors YouTube channel for more videos. ...

Top Rated Comments

jarman92 Avatar
38 months ago
What is it that the EU doesn't understand about consumers not wanting massive fragmentation in every aspect of their lives? For example, if banks are allowed direct access to the NFC chip they're going to force you to open/use their terrible apps to use Apple Pay. Without Apple strong-arming them, they would have already done so in Australia.
Score: 35 Votes (Like | Disagree)
From Win to Mac Avatar
38 months ago
Perhaps a lawyer can jump in for this question: when a company is accused of antitrust behavior, isn't there a requirement that consumers are forced to use the product, or are at least significantly disadvantaged if they don't?

I mean it in the context of, no one is really forced to buy an iPhone, anyone can easily switch to Android. I contrast that with Microsoft's antitrust in the 90s, where they had 90% market share and much of the software was only available on Windows, which de facto forced everyone onto Windows.
Score: 26 Votes (Like | Disagree)
zorinlynx Avatar
38 months ago
Is this really an issue? I mean, Apple Pay is just a conduit, that allows a payment card provider to offer NFC on the iPhone. It's not like you're only limited to using Apple Card. I have all my cards in Apple Pay and can use any one of them, and it's exactly the same from my perspective as using the card directly.

Apple just provides a conduit and interface, not really the service itself.

If it were something like, only Apple Card can use Apple Pay, I'd get it, but it's not like that.
Score: 19 Votes (Like | Disagree)
HQuest Avatar
38 months ago

Concerns may have been raised by Apple Pay's wide reach and better user experience on the iPhone compared to other services
Quick, let us sue them for doing a good service, so bad services have a chance to fail even more.
— Europeans
Score: 18 Votes (Like | Disagree)
bandrews Avatar
38 months ago
Not sure if anyone has posted this yet but the worst part about opening it up to everyone is that banks can then force you to use their own proprietary contactless payment app. Not sure if it's still the case but when I had a Pixel 5 last year I was unable to add my Barclays card to Google Pay as Barclays only allowed contactless payments through their own app. A nightmare if you want to regularly switch between different cards from different banks. This fragmentation is a bit like the opposite of their USB-C decision which aims to simplify and standardise.
Score: 17 Votes (Like | Disagree)
Rigby Avatar
38 months ago

Thank goodness the UK left the EU
Yeah, well, at least you don't need Apple Pay to pay for gas, since there isn't any. :p
Score: 15 Votes (Like | Disagree)