Apple Pay’s Antitrust Woes Grow

Apple Pay has come under fire for possible antitrust violations, adding to the previous scrutiny over alleged anticompetitive behavior in its App Store, according to a report in Financial Times on Friday (Dec. 18).

Contactless payments have surged amid the coronavirus pandemic that took hold of the U.S. in March. Apple Pay use has since been escalating, and has gone from “being a convenience to a matter of public health,” said Jennifer Bailey, vice president of internet services at Apple Pay, per FT.

The Silicon Valley tech giant has faced several antitrust complaints this year, including a Dutch probe into Apple Pay and two separate investigations launched by the European Union. 

“They are really building out, within the Apple Pay team, a financial services juggernaut,” said Jason Gardner, founder and chief executive officer of the payments platform Marqeta, per FT.  “Apple Wallet is a killer app, more of a killer app than much of the world really understands right now. And it’s absolutely going to become a battleground for regulators in the future.”

Apple Pay is used by more than 507 million people, according to analysts at Loup Ventures, per FT, up from just 67 million in 2016.

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