Apple may face European Union rules to open up payment technology

The European Union is weighing legislation that could force Apple Inc. to open iPhone payment technology to competitors.
 
The potential rules would grant other payment services a right of access to infrastructure such as near-field communication technology embedded in smartphones, the European Commission said Thursday, confirming a Bloomberg report last week.
 
While the EU didn’t explicitly name Apple, it said the “most commonly reported issue” related to mobile device manufacturers restricting third-party access to NFC chips. The components handle wireless signals that allow users to pay via their smartphones or watches at store terminals.
 

At present, iPhone and Apple Watch users can only make NFC payments using Apple Pay. Banks and other competitors have said they want the same functionality for their own iPhone apps but that Apple refuses access to the chip.

 
Google’s Android phone allows rival apps to use NFC technology. Only one application is allowed access to it at a time for a given transaction to keep data secure.
 
Apple has previously said it restricts access to the NFC chip for security reasons. It said granting rival mobile payment apps access to the chip, decoupled from Apple’s added layer of security, could increase the risk of fraud and other security breaches.

Bloc challenges ruling in $15-bn back tax battle
 
The European Commission said Friday it is appealing a court decision that Apple doesn't have to repay ^13 billion euros ($15 billion) in back taxes to Ireland. The appeal comes after the US tech giant scored a big recent legal victory in its long battle with the European Union's executive Commission, which has been trying to rein in multinationals' ability to strike special tax deals with individual EU countries.

The EU's General Court ruled that the commission wrongly declared in 2016 that Apple was given illegal state aid when it struck a low tax rate agreement with Irish authorities.