Apple Opens Up NFC Transaction Features, Developers Can Create In-App Payment Experiences Independent of Apple Pay

Apple Opens Up NFC Transaction Features, Developers Can Create In-App Payment Experiences Independent of Apple PayApple today announced that developers will soon be able to offer NFC transaction capabilities within their apps for the first time, a feature previously exclusive to Apple Pay. Starting with the release of iOS 18

Apple Opens Up NFC Transaction Features, Developers Can Create In-App Payment Experiences Independent of Apple Pay

Apple today announced that developers will soon be able to offer NFC transaction capabilities within their apps for the first time, a feature previously exclusive to Apple Pay. Starting with the release of iOS 18.1 later this year, developers can use new APIs to provide contactless transactions within their apps, independent of Apple Pay and Apple Wallet. This move will open up new possibilities for a wide range of scenarios, including in-store payments, car keys, transit, corporate badges, student IDs, home keys, hotel keys, merchant loyalty and rewards cards, event tickets, and future government IDs.

The introduction of these new APIs will provide developers with unprecedented flexibility, allowing them to build more unique payment experiences tailored to their specific needs. For example, developers can create applications that allow users to pay for parking, purchase public transportation tickets, or pay for coffee using their smartphones directly, without the need for traditional payment cards or Apple Pay.

To ensure security, the new APIs utilize the Secure Enclave within the iPhone, a certified chip that stores sensitive information directly on the device. This means that even if a user's phone is lost or stolen, their payment information remains secure. Users can directly open applications that integrate these APIs or set them as the default contactless application in Settings and then double-click the side button to initiate a transaction.

Apple has implemented a rigorous approval process for developers using NFC and Secure Enclave APIs, ensuring that only authorized developers who meet specific regulatory and industry requirements and commit to adhering to Apple's security and privacy standards are granted access. Developers must apply for NFC and Secure Enclave permissions, enter into a commercial agreement with Apple, and pay associated fees.

Apple states these measures are designed to protect users from fraud and abuse. The company's statement indicates: "We are committed to providing the highest level of security and privacy for our users. By rigorously reviewing and authorizing developers, we can ensure only trusted applications gain access to these features."

Currently, developers in Australia, Brazil, Canada, Japan, New Zealand, the UK, and the US can access the NFC and Secure Enclave APIs in the upcoming iOS 18.1 developer beta. Apple has stated that developers in more regions will gain access in the coming months.

This move is seen as another step by Apple in the mobile payments space. As Apple continues to expand the reach of NFC transaction capabilities, developers will be able to create more personalized and convenient payment experiences for users. The introduction of this new feature may reshape the mobile payments landscape and spur the emergence of even more innovative applications.