EU Targets Apple Wallet; Tech Giant Also on Fire for App Store Policies Relating to Dating Apps

Apple has been accused by EU officials of limiting competition from third-party mobile wallet providers in order to boost Apple Pay.

Separately, the Netherlands Authority for Consumers and Markets (ACM) claimed that App Store policies linked to dating apps were "insufficient."

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EU Targets Apple Over the Alleged Dominance of Apple Pay

As per the news story of 9to5Mac, the EU competition commission issued an official Statement of Objections against Apple on Monday, citing Apple Pay's dominance.

The EU claims it has reached the preliminary assessment that Apple unfairly abused its dominant position in the market for mobile wallets by restricting third-party access to the NFC chip, hence increasing Apple Pay uptake. It said that Apple inhibits competition by restricting full access to NFC technology on the iPhone for its own service, Apple Pay.

The report noted that a preliminary finding does not always imply that the EU will impose fines. The first part of the process was completed on Monday, when the commission sent Apple its formal Statement of Objections and gave Apple time to respond. The EU will then assess the response before deciding whether or not to proceed.

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Meanwhile, according to Digital Trends, Apple's Executive Vice President and Chief of Competition Margrethe Vestager said that Apple may have broken EU antitrust laws by preventing competitors from using NFC technology.

She explained that third-party tech companies develop NFC technology, and that "tap and go" payment has become a regular way of payment in practically every retailer in the EU. NFC technology was established by third-party mobile companies, and they should be able to use it, but because Apple is the market leader in the rapidly developing mobile wallet sector, Vestager said it has been gatekeeping it for Apple Pay users.

Digital Trends mentioned that the EU Commission has been investigating Apple's alleged competition misconduct involving Apple Pay since June 2020.

Apple's Efforts on the App Store Payment System Policies for Dating Apps Are Deemed 'Insufficient' by a Dutch Watchdog

In a separate report of 9to5Mac, it was said that Apple is still under fire for its efforts on App Store policies linked to dating apps, with the Netherlands Authority for Consumers and Markets (ACM) calling them "insufficient." The ACM says it will take up to several weeks to decide what action it will take next.

Journalist Nando Kasteleijn published this update on Apple's case on Twitter, indicating that the ACM may be preparing a new penalty for the Cupertino company.

However, the Dutch watchdog group claims that while Apple's proposal is an improvement, it is insufficient to comply with EU and Dutch standards.

9to5Mac said that Apple was penalized roughly $5 million for 10 weeks, but the ACM believes the penalty did not achieve the desired outcome, therefore the ACM is formulating a fresh order subject to penalty, which might take several weeks.

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