PayPal vs Apple: iPhone will get a new payment method
While Apple yawns, PayPal is opening its wallet - and betting on the Digital Markets Act (DMA), which in the EU has finally made it possible for other companies to use the iPhone's NFC module. Germany will be the first to test the novelty, and if all goes according to plan, PayPal plans to roll out its "contact" experiment across Europe.
Here's What We Know
According to PayPal's official announcement, iPhone users will be able to pay directly with the PayPal app at any location that accepts contactless MasterCard. The secret is simple: you can now designate PayPal as the "default payment option" - and use it from the lock screen or simply when you bring your phone to a terminal. No dancing with Wallet, no Apple Pay.
The opportunity comes thanks to the DMA, the EU legislation that required Apple to open up access to NFC to third-party apps. So Europe becomes the first arena where the iPhone will start accepting new forms of payment - outside of Apple's usual ecosystem.
The service will launch in the coming weeks in Germany. No final timeline has yet been announced for entry into other EU and EEA countries, but PayPal has already said it plans to scale the technology across the region. And that could really shake up the mobile payments market in Europe - especially in countries where Apple Pay isn't particularly popular.
Source: PayPal
