UK considering antitrust regulations on Apple Card & other big tech financial programs

The UK's Financial Conduct Authority (FCA) says that it has concerns about Apple and other Big Tech firms disrupting the country's financial markets, and it is seeking feedback on what it should do about it.

Apple's delayed Apple Pay Later has already come under some scrutiny from the FCA, but now the regulator wants to "develop an effective competition approach" to prevent antitrust issues.

"In recent years, Big Tech's entry into financial services, in the UK and elsewhere, has demonstrated their potential to disrupt established markets, drive innovation and reduce costs for consumers," said Sheldon Mills, Executive Director of Consumers and Competition, in a statement. "Across the world, we've seen the capability of Big Tech to offer transformative new products in areas such as payments, deposits and consumer credit."

"We want to make sure that these benefits are fully realised while, at the same time, ensuring good consumer and market outcomes," continued Mills. "This is vital when we consider the role of Big Tech firms in the provision of key technological infrastructure like cloud services."

The FCA is not proposing specific regulations, but it does want responses from interested parties. There will be a webinar on the "Competition impacts of Big Tech in retail financial services," on November 28, 2022, and the FCA is accepting responses until January 15, 2023.

Currently, Apple Card is not available in the UK, but the company did acquire a Britain-based credit scoring firm. The full FCA report notes that the regulator is specifically concerned about Big Tech firms' "potential to grow and change market outcomes quickly."

"The discussion we are starting today will inform the FCA's pro-competitive approach to digital markets, and I encourage consumers, firms and fellow regulators to join the conversation," said Mills.

14 Comments

22july2013 11 Years · 3736 comments

About 2 years ago

The fact that she said big tech does "drive innovation and reduce costs for consumers" means she sees the good. That's good.

rob53 13 Years · 3312 comments

The UK needs to stop worrying about Apple and figure out how to stop losing money. This isn't caused by Apple but by issues within the UK. Stop investigating big tech, they're not the problem. Three PMs in 7 weeks is your bigger issue.

Airlines give out credit cards, every store gives out branded credit cards, gas station give them out so why pick on Apple?

avon b7 20 Years · 8046 comments

22july2013 said:

The fact that she said big tech does "drive innovation and reduce costs for consumers" means she sees the good. That's good.

Yet, ironically, most of the innovation in fintech actually comes from startups that have no way to compete against the gatekeepers and so set themselves up to be acquired by them. That does not help in competition terms.

It is happening all over the place. Another area is health.

Stabitha_Christie 3 Years · 582 comments

rob53 said:

The UK needs to stop worrying about Apple and figure out how to stop losing money. This isn't caused by Apple but by issues within the UK. Stop investigating big tech, they're not the problem. Three PMs in 7 weeks is your bigger issue.

Airlines give out credit cards, every store gives out branded credit cards, gas station give them out so why pick on Apple?

They aren't picking on and. AppleInsider's claim that the UK is considering antitrust regulation on Apple Card is a complete fabrication. Apple Card isn't available in the UK and doesn't fall under their jurisdiction.

All they UK is doing is considering regulation of Big Tech companies entering the financial services market. This would ultimately include Apple if Apple decided to offer financial products in the U.K but it isn't exclusive to Apple. There is nothing wrong with what is happening, financial products should be regulated.

Your issue here is with AppleInsider's sensationalist blogging. Yes, blogging. Calling it journalism would be wholly insulting to journalists everywhere.

avon b7 said:

22july2013 said:

The fact that she said big tech does "drive innovation and reduce costs for consumers" means she sees the good. That's good.

Yet, ironically, most of the innovation in fintech actually comes from startups that have no way to compete against the gatekeepers and so set themselves up to be acquired by them.

I'm not sure if that's a "problem." No government should stop me from starting up a small company with the intention to sell out to a big company. It happens all the time; it's an element of freedom and free enterprise.