Apple is opening the iPhone’s NFC chip to third-party apps with iOS 18.1

Apple has announced that it is opening up the iPhone’s NFC chip using the Secure Element to allow for third-party contactless payments, separate from Apple Pay and Apple Wallet. This feature will debut in a future beta of iOS 18.1 and will be available in Australia, Brazil, Canada, Japan, New Zealand, the U.K., and the United States.

This change comes after Apple announced it would open the NFC chip to third-party payment apps in the European Union in accordance with the Digital Markets Act.

In a press release announcing the news today, Apple explains that the NFC chip can be used for things like payments, car keys, student IDs, hotel keys, and much more:

Starting with iOS 18.1, developers will be able to offer NFC contactless transactions using the Secure Element from within their own apps on iPhone, separate from Apple Pay and Apple Wallet. Using the new NFC and SE (Secure Element) APIs, developers will be able to offer in-app contactless transactions for in-store payments, car keys, closed-loop transit, corporate badges, student IDs, home keys, hotel keys, merchant loyalty and rewards cards, and event tickets, with government IDs to be supported in the future.

Apple also says that users will be able to set a third-party app as their default contactless app via the Settings app on their iPhone.

Apple adds: “To incorporate this new solution in their iPhone apps, developers will need to enter into a commercial agreement with Apple, request the NFC and SE entitlement, and pay the associated fees.”

Apple has published more details about its plans on its developer website, with instructions on how developers can contact Apple to express interest in the offering.

More to come…