EU Closes Apple Probe Following Promise to Open iPhone Tap-to-Pay

Apple should give competing mobile wallet developers access to the NFC-based faucet system, including for use as payment terminals. App developers should be allowed to combine tap-to-pay with other NFC features, as well as ask users to set a third-party app as their default wallet. The company has until July 25 to secure improved access and meet its 10-year obligations.

The European Commission launched an investigation into Apple Pay as a whole in June 2020, but ultimately focused on contactless payments. In May 2022, the European regulator found that Apple was abusing its role as the maker of the iPhone to block competing digital wallets.

Apple first proposed its changes in January this year, but made them after the Commission conducted tests and asked for feedback from third parties. Developers don't have access to the secure element used to store biometric data on the device, but a host card emulation mode lets app creators securely store NFC data without using the element.

Apple continues to face increased scrutiny in the EU for other alleged anti-competitive practices. The Commission has formally accused Apple of violating the Digital Markets Act with its App Store policies and is concerned that recent changes do not go far enough to solve the problem.

Nevertheless, the agreement helps ease certain tensions between Apple and European governance. This suggests that the remaining disputes will be narrowed and both parties will end their transactions, despite the long ending.