Written by Fu Yun Chi
BRUSSELS (Reuters) – Apple’s proposal to open up its Tap & Go mobile payments system to competitors could be approved by European Union antitrust regulators as soon as next month, with some adjustments to the terms. Officials said that it is expected that this will be the case.
If Apple concludes the four-year investigation, it would help it avoid a finding of wrongdoing and a hefty fine that could amount to 10% of its global annual revenue.
Apple’s tap-and-go technology, called Near Field Communication (NFC), enables contactless payments using mobile wallets.
Two years ago, the European Commission accused Apple of hindering competition in its Apple Pay mobile wallet by preventing rival mobile wallet app developers from accessing the company’s tap-and-go technology.
The U.S. tech giant announced in January that its rivals would be free to use its NFC on iPhones, iPads and other Apple mobile devices without using Apple Pay or Apple Wallet on a fair and non-discriminatory basis. I suggested that it be made accessible.
We also proposed providing additional features such as default settings for preferred payment apps, access to authentication features such as FaceID and suppression mechanisms, and setting up dispute resolution mechanisms.
Apple was asked to adjust some of the terms after receiving feedback from rivals and customers. The NFC proposal is for 10 years.
The committee aims to accept proposals by the summer, most likely in May, although the timing could still change as Apple waits to finalize technical details. Officials said that there is a difference.
Last month, the company was fined 1.84 billion euros ($2 billion), its first EU antitrust violation, for impeding competition from Spotify and other music streaming rivals through App Store restrictions. .
(1 dollar = 0.9388 euro)
(Reporting by Foo Yun Chee; Editing by Jan Harvey)
