Governance
UK watchdogs probe competitiveness of big tech’s digital wallets
OUR TAKEUK regulators are conducting an in-depth investigation into the competitiveness of digital wallets offered by major tech companies such as Apple, Google and PayPal. The inquiry focuses on analysing the fee structures and potential operational risks associated with these digital wallets. It a…
Headline
OUR TAKEUK regulators are conducting an in-depth investigation into the competitiveness of digital wallets offered by major tech companies such as Apple, Google and PayPal. The inquiry focuses on analysing the fee structures and potential operational risks associated with these…
Context
OUR TAKE UK regulators are conducting an in-depth investigation into the competitiveness of digital wallets offered by major tech companies such as Apple, Google and PayPal. The inquiry focuses on analysing the fee structures and potential operational risks associated with these digital wallets. It aims to assess their impact on market competition and consumer security, with findings to be published early next year. It follows the EU’s recent move to open up Apple’s tap-and-pay technology to other providers, and reflects ongoing concerns about big tech’s influence in the digital payments sector. — Heidi Luo , BTW reporter UK regulators are investigating the competitiveness of digital wallets offered by major technology companies, including Apple, Google and PayPal. The inquiry will focus on analysing the fee structures that consumers face when using these digital wallets and assessing the potential risks that could arise from operational failures within these technologies.
Evidence
Pending intelligence enrichment.
Analysis
As part of a wide-ranging fact-finding exercise launched on Monday, the Payment Systems Regulator(PSR) and the Financial Conduct Authority(FCA) have asked industry participants to answer a series of questions in order to gain a full understanding of how digital wallets affect market competition and consumer safety. The deadline for responses is 13 September, and the regulators plan to publish an update on their findings in the first quarter of next year. This regulatory scrutiny follows closely on the heels of the European Union’s recent agreement with Apple to allow other providers to use its tap-and-pay technology and is part of wider concerns about the dominance of big tech companies in the digital payments sector. Also read: Cracking the code: The truth about crypto wallet case sensitivity Also read: Different types of crypto wallets: A complete guide
Key Points
- UK regulators launched inquiry into the fairness and security of digital wallets from top tech companies, with findings expected next year.
- Inquiry explored potential to reduce reliance on major card networks by facilitating bank-to-bank payments through digital wallets.
Actions
Pending intelligence enrichment.
