Group items tagged

Roberto Garavaglia has explored the implications of the Apple iOS 18.1 update's opening of access to iPhone secure elements to developers to allow them to offer contactless near field communication (NFC) transactions directly within their apps, outside of the Apple Pay and Apple wallet ecosystem. This will open the use of Apple devices not only for payments, but also for digital access and identification. Developers will be able to integrate a wide range of services, from in-store payments to digital keys for cars, company badges, loyalty cards and government documents. However, challenges remain with regard to Apple's control and compliance with European standards.

Starting with iOS 18.1, iOS developers will be able to offer near-field communication (NFC) contactless transactions using the secure element (SE) from within their own apps on iPhones, separate from Apple Pay and Apple Wallet. Using the new NFC and SE, application programming interfaces (APIs), developers will be able to offer in-app contactless transactions for in-store payments, car keys, closed-loop transit, corporate badges, student IDs, home keys, hotel keys, merchant loyalty and rewards cards, and event tickets, with government IDs to be supported in the future. The only catch is that developers will need to enter into a commercial agreement with Apple, request the NFC and SE entitlement, and pay the associated fees. This follows a commitment made by Apple to the European Commission in July 2024 to grant European iOS developers similar NFC and SE access to address antitrust charges. Even the new commitment is not fully global in scope. The NFC and SE APIs will only be available to developers in Australia, Brazil, Canada, Japan, New Zealand, the United Kingdom, and the United States, although additional locations are said to follow.