EU to accuse Apple of unfairly blocking third-party access to NFC payment technology on iPhone

Apple will be accused of breaking European law by unfairly limiting access to its mobile payment system on iPhone to third-party service providers, such as PayPal and Venmo, depending on the FinancialTimesciting sources familiar with the matter.

Apple Tap to Pay iPhone
According to the report, Apple will be accused of “unfairly preventing groups such as PayPal and leading banks from accessing its mobile wallet system” by the European Union and could face stiff penalties if the accusation progresses. Specifically, the EU challenges Apple’s restriction of NFC technology on the ‌iPhone‌, which Apple does not allow third-party app developers to access.

By limiting access to the NFC chip, services such as PayPal, Venmo, banks and other financial service providers are unable to provide an experience similar to that of Pay Apple for ‌iPhone‌ users. Apple says its restrictions on NFC are in place to protect user privacy and security.

The new EU development comes as Apple faces growing pressure to open up its ‌iPhone‌ to third-party app stores and possibly make iMessage a cross-platform messaging service. New details this week of the “Digital Services Act” which should soon make its way to the European Parliament and the European Council could force Apple to open up its iPhones to other app stores and to sideloading, a decision which CEO Tim Cook warns would fundamentally change the ‌iPhone‌.

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