Shares of Apple closed almost 1% lower Wednesday as Australia’s competition watchdog said it is proposing to deny an authorization to Australia-based lenders, which were looking to collectively bargain with and boycott the company on its Apple Pay service.
The Commonwealth Bank of Australia, Westpac Banking Corp. (WBK), National Australia Bank, and Bendigo and Adelaide Bank were seeking authorization to bargain with Apple on two vital issues.
Specifically, the lenders were looking to negotiate with Apple on access to the near-field communication controller in iPhones, which would allow them to offer their own digital wallets to iPhone users in competition with Apple’s own digital wallet. The banks also were looking for Apple to remove restrictions that prevented them from passing on fees to customers that were charged by Apple for the use of its digital wallet. Australia’s Competition and Consumer Commission said it expects to issue a final decision in March.
By BDL Contributor