The European Commission on 11 July 2024 made Apple NFC commitments legally binding under EU antitrust rules, opening access to the "tap and go" technology used for contactless payments with iPhones in stores. The commitments address the Commission's concerns that Apple refused to grant rival mobile wallet developers access to Near Field Communication (NFC) on iOS, according to the Commission's announcement.
Corporate INTL Newsroom · Competition & Antitrust
Commission Makes Apple NFC Commitments Binding for iPhone Tap and Go Payments
By The Corporate INTL Newsroom · 12 July 2024
The competition concerns
The Commission preliminarily found that Apple has significant market power in smart mobile devices and a dominant position in the in-store mobile wallet market on iOS. Apple Pay was the only mobile wallet able to access the NFC hardware and software on iOS for in-store payments. The Commission's preliminary view was that refusing that access to competing wallets, while reserving it for Apple Pay, excluded rivals and reduced innovation and choice, conduct that may breach Article 102 TFEU.
What Apple has committed to
Apple will allow third-party wallet providers to access NFC on iOS free of charge, in Host Card Emulation (HCE) mode, without having to use Apple Pay or Apple Wallet. Access will be granted under fair, objective, transparent and non-discriminatory criteria. Users will be able to set an HCE payment app as their default and use functions such as Field Detect, double-click and authentication tools including Face ID and Touch ID.
After a market test between 19 January and 19 February 2024, Apple improved its offer. The final commitments extend to payments at other certified terminals such as merchant phones (SoftPOS), remove the requirement for developers to hold a payment service provider licence or agreement, shorten dispute deadlines and add guarantees for the monitoring trustee.
Duration and scope
The commitments apply to developers established in the European Economic Area and to iOS users with an Apple ID registered in the EEA, including when travelling temporarily outside it. They remain in force for ten years and will be overseen by a monitoring trustee reporting to the Commission. In remarks on the decision, the Commission noted that the use of mobile wallets in shops in Europe has tripled over the last four years.
What it means
The decision is without prejudice to Apple's obligations under other EU law. For payment providers and banks, it creates a route to offer iPhone contactless payments through their own apps across the EEA.
Sources
Looking for legal or business advice?
Tell us what you need and the Corporate INTL team will help you find the right lawyer or adviser from our members in 150+ jurisdictions.
1What you need2Your details
More from the newsroom
All latest news → 
