Banks in Australia want to negotiate with Apple, team up to boycott Apple Pay

Banks in Australia want to negotiate with Apple, team up to boycott Apple Pay
Four of the largest banks in Australia — Commonwealth Bank of Australia, Bendigo and Adelaide Bank, National Australia Bank, and Westpac Banking Corp — have asked the Australian Competition and Consumer Commission (ACCC) to be allowed to join forces and negotiate with Apple as a single block. The main reason behind the request is the fact that the banks are finding themselves locked out of the money-churning mobile payments platform – Apple Pay.

While Apple does allow some of the banking apps be loaded on to iPhones, it limits their access to the handset's hardware, such as antennas or NFC. As a result, the banks' apps are nothing more than Internet banking tools. This does not sit well with the financial institutions, as they are expecting mobile payments to start replacing contactless cards very soon — the New South Wales Transport will begin an open trial for mobile payments in early 2017 and it is expected that this will be a catalyst for mobile payments usage.

So, the banks want two things. First, they will be requesting that Apple allow their digital wallet apps use the phone's communication hardware, thus allowing them to make mobile payments. Secondly, they will be asking for common (high) standards to be established among all digital wallet creators, and want Apple to be a part of the process, probably to give its quality expertise.

The ACCC reports that the institutions also want permission to collectively boycott Apple Pay while they are in negotiations with Cupertino. The application also suggests that other companies that have an interest in the topic are welcome to join the debate.

Apple hasn't had a smooth start with Apple Pay in Australia. The service became available there back in November of 2015, but only works for ANZ-issued American Express card owners.

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18 Comments

1. Barney_stinson

Posts: 672; Member since: May 30, 2016

Unhealthy for banks!!

16. cheetah2k

Posts: 2221; Member since: Jan 16, 2011

"Commonwealth Bank of Australia, National Australia Bank, and Westpac Banking Corp (collectively known as ANZ) " This is untrue and totally incorrect. ANZ is its own bank - there is no collectively about this!! CBA, NBA and WBC have nothing to do with the ANZ that is a bank in itself Correct the article

18. paul.k

Posts: 293; Member since: Jul 17, 2014

Oh wow. Mistaken with "Australia and New Zealand Banking Group". Thanks

2. trojan_horse

Posts: 5868; Member since: May 06, 2016

Who the hell can stand such a selfish policy of Apple Pay? Apple wants to get a cut from any and everything other companies earn, when they use something related to Apple. I support the boycott at 100%

3. Amroze

Posts: 597; Member since: Jul 04, 2016

Even Donald Trump wants to. I support it too. Boycott Apple.

4. peacetoallfellas

Posts: 76; Member since: Jul 15, 2016

samsung pay , android pay and apple pay all should be boycotted for good

5. sebbellic01

Posts: 305; Member since: May 03, 2016

Why boycott Samsung Pay and Android Pay? They don't have the same restrictions as Apple Pay

6. cncrim

Posts: 1586; Member since: Aug 15, 2011

Bc he live in country that doesn't support service yet and he doesn't know different.

7. ctdog4748

Posts: 797; Member since: Mar 05, 2016

Idiot crybaby banks. If you don't like the terms Apple sets, then don't use them, simple as that. Stick with Android Pay or Samsung Pay.

10. joey_sfb

Posts: 6794; Member since: Mar 29, 2012

I agree with you mostly but Apple customer are the prime meat. Easy to rip off.

13. MrElectrifyer

Posts: 3960; Member since: Oct 21, 2014

Shhh!! Easily getting separated from their cash makes them feel "rich"...

14. VZWuser76

Posts: 4974; Member since: Mar 04, 2010

Umm, I think that's exactly what they're doing. That's what a boycott is, not using them or their services because you don't agree with their policy. They're doing this as a way to possibly force Apple to change their policies. It's the same as consumers voting with their wallet by not buying products from a company because of their policies or their products. It was similar to many who didn't buy Samsung's Galaxy S6 series or Note 5 when they dropped expandable storage, or Motorola when they went back to their crappy update support.

8. der_damo

Posts: 213; Member since: Sep 16, 2014

So, they want more possibilities than other companies and want to make the rules so Apple can't earn money while offering such a -yeah it is - great product in Apple Pay? Rot in pieces banks.

9. No_Sammy_No_Gimmicks

Posts: 147; Member since: Jun 10, 2015

Who invested their money in R&D to develop Apple Pay? So Apple should develop the technology and maintain the App Store at their own costs then the banks must get a free ride? It's same as wanting to have a nice highway for your car, but you refuse to pay any tax.

11. talon95

Posts: 994; Member since: Jul 31, 2012

You mean who developed NFC and made it work for digital payments? (not Apple) The banks are more than happy to develop their own payment system, they don't even what what Apple is providing, the problem is that they're locked out. Why pay for Apple when they can just use a competing system? Everyone else makes their money off of the sale of devices, Apple just wants to make money hand over fist on everything. And it all ends up costing us, the consumers, in the end.

12. MrElectrifyer

Posts: 3960; Member since: Oct 21, 2014

Typical crappIe, excessively restricting their hardware and software just for their selfish gains, 0 benefit to consumers...

15. joevsyou

Posts: 1091; Member since: Feb 28, 2015

lol you have to use a card info for apple pay, they are still getting their cut... whats the issue ohh MORE of a cut

17. gb2702

Posts: 2; Member since: Aug 18, 2012

We do have Android pay & Samsung pay in Aus now, so there is some competition to Apple pay. Most of the major banks have their own payment systems or will be on Android Pay. ANZ is the only major bank on all 3 services at the moment.

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