Share
The UK competition watchdog is unveiling new proposals that would open up Apple’s contactless technology to rival apps and fintech providers.
The intervention targets Apple’s strict monopoly over the iPhone’s near-field communication (NFC) hardware. Currently, Apple restricts third-party developers from full access to the built-in NFC chip, which means that mobile transactions on iOS are difficult to carry out. Apple Wallet and Apple Pay.
With over 60% of UK adults using digital wallets and contactless payments accounting for almost 40% of all UK financial transactions, regulators argue that these self-serving restrictions will stiffen competition and block innovative third-party services.
To dismantle these spare parts, the Competition and Markets Authority (CMA) has proposed new conduct requirements under the Digital Markets, Competition and Consumer Act.
Under the plans, Apple would be legally required to give rival wallet vendors and developers fair, interoperable access to its NFC hardware through standard international technologies, including secure element (SE) and host-based card emulation (HCE) systems.
In addition, the regulator suggests that the access fees charged by Apple must be significantly lowered and subject to fair commercial principles, which prevents the tech giant from pricing competitors out of the market.
Consumer groups welcomed the move. Rocio Concha, what? Director of Policy and Advocacy, said:
“It is positive that the CMA is taking action against Apple’s ‘tap-to-pay’ monopoly on the iPhone, which is supported by anti-competitive chip restrictions.
“How? Research shows that digital wallets are used by a majority of UK consumers. Many people rely on their phone every day to make payments, but they are missing out on innovative services due to the self-service restrictions set by Apple.”
While consumer advocates praise the initiative, which? urged the CMA to ensure that Apple cannot exploit loopholes, such as high developer fees, to maintain an unfair advantage compared to regulatory frameworks established in the European Union.
The CMA’s consultation on the proposed conduct requirements will remain open until 17 November 2026, before a final regulatory decision is issued.
Related posts
Discover more from Tech Digest
Subscribe to get the latest posts sent to your email.