iOS 18.1 brings contactless payments to your iPhone, but that could be a mixed blessing
Last month we heard that contactless iPhone payments would be opened up to third-party developers in the European Union in response to regulatory pressure, and now Apple has announced that the feature is coming in 18.1 – and not just to countries in the EU.
According to Apple’s press release, other apps will soon be able to accept contactless payments in Australia, Brazil, Canada, Japan, New Zealand, the UK, and the US, with “additional locations to follow.” It appears this will eventually roll out to most places.
This means other apps can use the Near Field Communication (NFC) and Secure Element (SE) technology built into iPhones to offer contactless in-app payments and transactions that are safe and secure. Currently, you can only use Apple Pay to make these payments, though other apps can read NFC tags.
You can even switch the default app that launches when you double-click the side button on your iPhone. It’s a major opening to the technology in Apple’s phones that developers have previously been unable to access.
Sometimes less is more
This includes alternatives to Apple Wallet and Apple Pay: car keys, business badges, student IDs, house keys, hotel keys, rewards cards, and event tickets are also supported. Apple says government IDs will follow “in the future.”
However, developers will have to “enter into a commercial agreement with Apple, apply for the NFC and SE rights and pay the associated fees.” It’s not clear what exactly that entails, but it is understood that there will be certain strings attached.
While it’s encouraging to see developers gaining more and more access to the iPhone and its features, we’re just concerned that the contactless functionality is becoming too complicated. Part of the appeal right now is that only Apple Pay and Apple Wallet can take full advantage of NFC and SE technology, meaning you can use those apps without even thinking about it.
Similar to its move to support game emulators on iOS, Apple is taking this action to avoid further fines or sanctions from EU regulators. We may hear more with the launch of iOS 18, which is expected to launch alongside the iPhone 16 next month.
