In a significant move, Apple is opening up its Near-Field Communication (NFC) technology to third-party developers, not just in the European Union, but also in the US and other regions. The company has announced that developers can start integrating their own contactless transaction systems into their apps using a new API, set to be released with iOS 18.1.
This development comes on the heels of Apple’s agreement with the European Commission to comply with the Digital Markets Act (DMA), following a four-year investigation that found the company liable for restricting rival mobile wallet developers from accessing the iPhone’s payment technology.
With the upcoming iOS 18.1 update, developers will be able to leverage the iPhone’s Secure Element, a dedicated chip that stores sensitive information, to offer contactless payments and other transactions. This same technology is used by Apple Pay. The Secure Element is accessed via the Secure Enclave, which handles encryption and biometric data.
NFC technology enables a range of functions beyond tap-to-pay systems, including digital car keys, transit cards, home locks, hotel keys, student IDs, event tickets, and retail loyalty and reward cards. Apple has also hinted that government IDs will be supported in the future.
Once third-party NFC apps are live, users will be able to access them either by opening the app directly or by setting the app as their default contactless payment method in iOS settings. After doing so, double-clicking the side button will trigger the transaction, similar to how Apple Pay works.
The new API will be available in several regions, including the US, EU, Australia, Brazil, Canada, Japan, and New Zealand. To participate, developers will need to enter into a commercial agreement with Apple, request NFC and Secure Enclave entitlements, and pay the associated fees. Apple Pay and Apple Wallet will continue to be available alongside rival systems.
