The Vipps payment app has launched in Norway, becoming the first Apple Pay-like app to leverage the more open iOS ecosystem. Norwegians can now use Vipps for Tap to Pay transactions and online payments and even set it as the default payment method on their iPhones.
This development stems from Apple’s efforts to comply with commitments made to EU regulators. Since its launch ten years ago, Apple Pay was the sole tap-to-pay option on iPhones. However, with iOS 18.1, Apple opened access to the iPhone’s NFC chip for third-party developers, enabling contactless transactions and other features outside the Apple Pay and Apple Wallet ecosystem.
EU Regulations Driving Change
Apple’s decision to open up its ecosystem came after EU regulators ruled that Apple Pay had created a monopoly in the tap-to-pay market. Earlier this year, Apple pledged to provide open APIs, addressing concerns about anti-competitive practices. This shift also led to other changes, such as adding support for the RCS (Rich Communication Services) messaging protocol and allowing users to remove nearly any app from their iPhones.
The NFC chip access stands out as a pivotal move, unlocking new possibilities for how users can interact with their devices. However, this also raises potential challenges, including compatibility issues between competing payment and user ID platforms that may not work seamlessly with one another.
A New Chapter for Apple
The introduction of Vipps highlights the start of a new chapter for Apple, with significant implications for its ecosystem and market dynamics, concludes NIX Solutions. As these changes unfold, we’ll keep you updated on how third-party apps like Vipps continue to shape the user experience.
Interestingly, it all began with a small financial institution from Scandinavia, making its mark on a global tech giant’s history.