EU announces preliminary view that Apple abused dominant market position for Apple Pay by restricting access to NFC chip

Apple today was hit with a statement of objections from the EU competition commissioner over Apple Pay’s dominance.

The EU says that it has come to the preliminary view that Apple unfairly abused its dominant position in the ‘market for mobile wallets’ by restricting access to the NFC chip to third-parties, thereby elevating the adoption of Apple Pay.

The EU says that Apple restricts competition by reserving full access to NFC technology on the iPhone to its own service, Apple Pay.

They claim this has had an “exclusionary effect” on their competitors and reduced consumer choice in mobile wallets. EU Competition rules would make it illegal to restrict access to key technologies, thus denying rivals the chance to compete.

A preliminary finding doesn’t necessarily mean that the EU will pursue penalties. Today’s first step in the process is where Apple receives a formal Statement of Objections from the Commission. Apple will then have time to respond. After receiving the response, the EU will consider it and decide whether or not to proceed.