Earlier this year, Apple finally offered third-party developers access to its Near-Field Communication (NFC) technology. Not only are iPhone users in the EU receiving access, but other regions can also leverage this technology. Yesterday, Vipps MobilePay became the first Apple Pay alternative on the iPhone using its NFC technology for tap-to-pay transactions.
“Tap with Vipps” is the app’s NFC payment solution. It works for sending money to friends and making online purchases, but that’s not all. You can also pay organizations and associations with it. In other words, it’s PayPal combined with Apple Pay if you want to think of it that way.
The reason Apple is opening up access to its NFC technology is primarily EU pressure. Apple had signed an agreement with the European Commission to open up the iPhone’s NFC technology in July. By doing so, it avoided a legal fine of up to 10 percent of its $40 billion worldwide annual turnover.
With Vipps being the first Apple Pay alternative, Apple’s monopoly on tap-to-pay is finally over. Still, Vipps is a Norwegian firm, and it currently only works there. Customers belonging to more than 40 local banks will be able to use Tap with Vipps to pay, and the company is planning to add more banks to the list. MasterCard and Visa support are also coming before Summer 2025.
Vipps’ success story is likely the first example of a challenge to the Apple Pay monopoly on the iPhone. According to Apple Insider, UK company Curve said in May that it wanted to be the first Apple Wallet alternative. However, Curve hasn’t announced anything yet.