Apple Faces Scrutiny With European Commission Over Apple Pay And NFC

Apple is facing trouble with the European Commission over the company’s Apple Pay service. The European Commission is concerned about the possible anti-competitive market practices and abusive conduct.

First, the regulator says that they have not released a renewed investigation of the scrutiny, as it is currently in its preliminary stages. The investigation case can also be dropped if there is inadequate evidence to prove the European Commission’s concerns about Apple Pay.

However, Apple slowly added NFC chips to the iPhone models, but the functionality is still sticking around with the Apple Pay feature. To support this claim, the iPhone would only display a prompt for Wallet or Apple Pay when it’s next to an NFC reader or sensor. This lacks the abilities of the iPhone to use other types of digital payment methods other than Apple Pay and to scan arbitrary NFC stickers and sensors in third party apps. Apple should start adding background NFC functionality to control smart home devices, control media playback and many more functions other than mobile payments.

Next, Apple executives have repeatedly said that Apple Pay is an accelerating business for the company. The last earnings call is evident that Apple Pay has exceeded the growth of PayPal and the service’s revenue is only a mere amount of the company’s overall revenue. The reason for this is the revenue from the Apple Pay service, which only makes a few cents from every single transaction.

Last, the ways Apple is doing to boost the Apple Pay service further is the Apple Card, which encourages iPhone users to use a better credit card, manage their spending and learn how to make payments with fewer interest rates. But Goldman Sachs gave the Cupertino company a negative rating to them yesterday, as the US launch of Apple Card was considered unsuccessful to the issuing bank company. Besides, Apple should be releasing the proprietary NFC stickers to any third party companies such as PaybyPhone, e-scooter companies, and Self-Parking garages so iPhone users can pay for parking, rentals and rideshare fees with Apple Pay.

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