Apple’s iOS 18.1 Brings Contactless Payments to Third-Party Apps

With the release of iOS 18.1, Apple is allowing third-party apps to integrate tap-to-pay, greatly expanding the use of NFC technology. This update gives developers new tools to create seamless in-app payment experiences.

Apple’s iOS 18.1 allows third parties to use Tap-to-Pay

Starting in iOS 18.1, Apple will allow developers to enable NFC transactions in apps using a Secure Element.

Additionally, as part of the update, you will be able to designate a default contactless payment app that will become available by double-clicking the side button on your iPhone, reports The Verge.

In the past, the Apple Pay icon could only be displayed by double-clicking the appropriate button.

NFC technology now available for more than just tag scanning

As a result of this change, developers will be able to provide contactless in-app transactions for a wide range of applications. These transactions will include “in-store payments, car keys, enclosed transportation, corporate IDs, student IDs, house keys, hotel keys, loyalty and merchant rewards cards, and event tickets.” NFC access for third-party apps has so far been limited to tag scanning.

A press release issued by Apple stated that government ID support will be available “in the future.”

The upcoming iOS 18.1 developer beta will make core APIs available to developers in the United States of America, Australia, Brazil, Canada, Japan, New Zealand, and the United Kingdom.

Developers must meet Apple’s NFC access requirements

Apple also adds that “additional tracking locations” will be included in the test. However, to take advantage of Apple’s application programming interfaces (APIs), developers will need to “enter into a commercial agreement with Apple, request NFC and SE permissions, and pay related fees.”

The change comes after Apple offered to open up iPhone NFC payments to third-party vendors in response to an antitrust investigation by the European Commission.

Last month, the European Commission announced that Apple’s commitments had become legally binding.