Until now, Apple Pay and Apple Wallet have had exclusive access to many of the iPhone’s NFC chip features. But with the release of iOS 18.1, this situation will change.
With the release of the iOS 18.1 update, Apple will allow developers to offer NFC transactions embedded in apps using Secure Element. Also, as part of the update, users will be able to install a standard application for contactless payments, which will be available by double-clicking on the side button of the iPhone. Previously, when double-clicking on this button, Apple allowed only the Apple Pay app to be displayed.
With this change, developers will be able to offer contactless in-app transactions for a wide range of third-party applications, including «in-store payments, car keys, closed-loop transportation, corporate badges, student IDs, house keys, hotel keys, loyalty and merchant rewards cards, and» event tickets. Until now, NFC access for third-party apps has been limited to tag reading. Apple’s press release also states that public identifiers will be supported by «in the future».
The corresponding APIs for creating such applications will be available to developers in Australia, Brazil, Canada, Japan, New Zealand, the United Kingdom, and the United States in the upcoming iOS 18.1 developer beta. Additional countries will follow at a later date. However, developers who want to take advantage of Apple’s APIs will have to «enter into a commercial agreement with Apple, request NFC and SE rights, and pay the appropriate fees».
This change comes after Apple’s proposal to open up NFC payments on iPhones to third-party providers following an antitrust investigation by the European Commission. Last month, the European Commission announced that Apple’s obligations were binding.
Source: The Verge