EU Surrenders to Apple’s Tyranny: Allows Company to Continue Dominating Mobile Payments Market
In a shocking move, the European Union has caved to Apple’s demands, allowing the tech giant to continue its stranglehold on the mobile payments market. The EU’s competition division, led by Commission EVP Margrethe Vestager, has accepted Apple’s commitments to "open up" its NFC technology to rival mobile wallets, but the devil is in the details.
Apple’s "Generous" Offer
Apple has promised to allow rival developers to access its NFC technology, but only through a limited API that will restrict their ability to innovate and compete. The company will also allow users to set a third-party wallet app as their default, but only after they’ve been forced to use Apple Pay for years. And, of course, Apple will continue to control the secure element, which is used to enhance the security of transactions made using Apple Pay.
A License to Monopolize
The EU’s decision is a slap in the face to consumers and a green light for Apple to continue its monopolistic practices. By allowing Apple to control the NFC technology, the EU is effectively giving the company a license to dominate the mobile payments market. This will stifle innovation and prevent new competitors from entering the market, keeping consumers trapped in Apple’s ecosystem.
A Betrayal of the Digital Markets Act
The EU’s decision is also a betrayal of its own Digital Markets Act (DMA), which is intended to promote competition and innovation in digital markets. The DMA requires tech giants like Apple to open up their infrastructure to competitors, but the EU’s decision to accept Apple’s commitments without enforcing the DMA’s requirements is a clear example of regulatory capture.
A 10-Year Get-Out-of-Jail-Free Card
The commitments are binding on Apple for 10 years, which means the company will have a decade to continue its monopolistic practices without fear of reprisal. And if Apple fails to abide by the commitments, the penalties will be too little, too late.
A Victory for Apple, a Loss for Consumers
The EU’s decision is a victory for Apple and a loss for consumers. It will stifle innovation, prevent new competitors from entering the market, and keep consumers trapped in Apple’s ecosystem. The EU’s surrender to Apple’s tyranny is a dark day for competition and innovation in the digital economy.
