mizhou

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mizhou
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  • EU Apple Pay antitrust action is complete, after NFC opened to competitors

    mizhoumizhou
    No one even mentions Mastercard and  Visa as gatekeepers, even though they have a very solid oligopoly I know there are other card issuers like American Express, Diner’s Club etc, but Mastercard and Visa are the two dominant ones. 
    aderutterdanox

  • EU Apple Pay antitrust action is complete, after NFC opened to competitors

    mizhoumizhou
    cessnapaul said:
    mizhou said:
    “In short, iPhone users in the EU will be able to replace Apple Pay and Apple's Wallet with offerings from other firms.”

    I don’t think so. What EU has done is open up the possibility for other companies to create their own wallets. Pretend that this was in the USA, and Walmart created their own wallet, and MacDonalds their own etc. 

    That hasn’t created a freedom for me as a customer to choose a wallet. Instead they will have to have a Walmart wallet, a MacDonalds wallet etc in addition to Apple Wallet. I’m enforced to use several different wallets. In theory I will have to have a wallet app for wvery store I shop in. This is a freedom for the companies to create their own wallets, and I will have to use multiple wallets, NOT a freedom for me to choose one wallet that I can use everywhere. 

    The EU politicians have absolutely no clue what they’ve done. They’ve created a mess, not freedom for consumers. 
    This is more about removing Apples swipe fees from the merchants. Apple gets a small fee each time their wallet is selected, and banks hate this fee, and therefore want to create their own loop excluding Apple wallet.
    And to be clear, Apple didn't invent NFC, nor were they the first company to put it in a phone, so for them to use their power to 'gatekeep' this from business' and iPhone users should be removed I think.
    From what I’ve read Apple’s fee is somewhere in the order of 0,05%. I don’t understand why merchants complain about that fee, when the fees to Mastercard,  Visa etc is more like 5%. Since this is a much more secure payment method, I think that Mastercard, Visa etc could simply lower their fee by the amount of the Apple fee. 

    You know when you go to a restaurant, and you pay with a card, the waiter comes to your table with a handheld card reader on which you tap your card. You don’t have to confirm that with a pin ode or FaceID or anything. Let’s say some criminals have such a handheld card reader and goes into a crowd of people. There is nothing stopping them from tapping that handheld terminal against you back pocket (where man actually have their wallets) and make a lot of transactions. 

    They can’t do that with ApplePay, since you have to double press the side button on the phone to go into payment mode and then confirm with FaceID, on fingerprint for older iPhones, before any transaction takes place. Less such fraudulent transactions means less costs for the card issuers ( USA, Mastercard and others), so they could very well lower their fees. The Apple fee is such a tiny amount compared to the other transaction fees from the card issuers and banks, so I don’t get why everyone is complaining about Apple’s tiny fee.  They raised the bar for security quite a lot. 

    The merchants also pay very high fees for the card terminals too, but I don’t hear any complaints about that. 
    strongywatto_cobrajony0

  • EU Apple Pay antitrust action is complete, after NFC opened to competitors

    mizhoumizhou
    danox said:
    Walmart won't have anything they are not in Europe.

    I know they’re not in Europe, but the guess some people reading and commenting here are from USA, and don’t know about stores we have here, so I used Walmart as an example, because they already knew that Walmart has rejected support for ApplePay and wants to have their own solution. 

    But live in Sweden, and there are stores here that have their own cards. Those stores are not in the USA, and many of them not even in other EU countries, like ICA for example. We have ICA, Coop, Lidl, H&M and many other stores here. Most of them already have their membership or customers bonus cards that gives some benefits, and some even have their own credit cards like IKEA (Ikano), ICA, Norwegian (airline and bank) and many more. How many of them will support other wallets, when they implement their own wallets?

    Then I need a Norwegian wallet to by airplane tickets, an Ikano card alley to shop at IKEA, an ICA wallet to shop in ICA stores etc. Unless EU will force them to support all wallets from other companies, while ch would be very costly, my guess is that each one of them will require you to use their own wallet. This means I will have to install multiple wallets, and can not freely choose one wallet for all my purchases. 
    ForumPostwilliamlondonwatto_cobra

  • EU Apple Pay antitrust action is complete, after NFC opened to competitors

    mizhoumizhou
    avon b7 said:
    Consumers will vote with their wallets  ;)



    Which one of them?
    strongywilliamlondonwatto_cobrajony0

  • EU Apple Pay antitrust action is complete, after NFC opened to competitors

    mizhoumizhou
    avon b7 said:
    So why hasn't that situation arisen on Android where alternative wallet/payment systems have existed for a long time? 

    It's freedom of choice.

    You decide. All McDonald's wants is your money. Put your card onto Apple Wallet/Pay and see if McDonald's rejects it. 
    So far the banks had to support both Android and ApplePay, which means that many have used the standard solutions ApplePay, GoogleWallet or Samsung wallet. Now that Apple have been forced to open up, I’m sure we will  see many more wallet apps. Not only from the big banks, but also from many other companies. 

    For example IKEA has their own bank Ikano, and many other big retailers have their own credit cards, which means that many more will create their custom app that work with their card, and many of them will probably drop support for ApplePay when they have their own solution. That means that when I go to IKEA (just an example here) I will have to use the IKEA wallet, and when I want to purchase something from Walmart I’ll have to use the Walmart wallet etc. I can not see how that will benefit me as a consumer. 

    I’m all for competition, if it’s a well thought through solution. This is not. The EU politicians think they have done a good job, but they haven’t  thought this through. Their decision n this case is not based on the what’s best for the consumers, but rather based on complaints from other companies that wants to make wallet apps.

    Before making decisions like this they should have made a though analysis of the consequences, which they apparently have not done. At least not a proper and thorough analysis. 
    stompydanoxtmayteejay2012strongyForumPostwatto_cobrajony0