Did Apple Pay Really Raise Fees? - Behind the Scenes of the "Payment Cartel" Trial That Never Materialized

1. The Day the "Massive Bribery" Allegation Vanished

On July 10, 2025, plaintiffs gathered in the courtroom in Belleville, Eastern Illinois, were disheartened by the judge's decision. They had accused the credit card giants Visa and Mastercard, along with mobile payment leader Apple, of colluding to freeze competition. However, Judge David Dugan dismissed the case, stating that the claims were speculative. The dismissal was "without prejudice," allowing for resubmission with strengthened content within 30 days.Reuters.

2. The Core of the Allegation—The "Sweet Deal" of Apple Pay's 0.15%

The plaintiffs, small retailers like Mirage Wine & Spirits in Illinois, claimed that Apple had the capability to create its own payment network bypassing card networks but chose not to, receiving "annual rebates worth billions" from Visa/Mastercard instead. Through Apple Pay transactions, 0.15% for credit cards / 0.5 cents for debit cards were paid to Apple, allegedly removing pressure to lower fees.MacRumors.

However, the judge pointed out that ① the cost and risk of Apple building its own network were ignored, ② there was no concrete evidence of "bribery," and ③ Apple's right to compete was clearly stated in the contract terms, leading to the dismissal of the case.ReutersDigital Transactions.

3. Reactions from the Companies

While Apple refrained from immediate comment, it emphasized in an internal memo that "Apple Pay has provided a safe and seamless experience for users and merchants." Visa and Mastercard stated that their collaboration accelerates innovation and is not illegal. Since the 2010s, the U.S. payment industry has rapidly evolved from contact IC to NFC to tokenization, and as the barrier of **"network externalities"** rises, the cost of new entry has undeniably increased.

4. Voices on Social Media—Who is the "Winner"?

"The fee hell continues, the ruling is a victory for the card industry" (Payment Analyst @FinTechHawk X (formerly Twitter))
"The lawsuit is absurd. Building a new network would be more costly for Apple, increasing consumer burden" (American Bar Association official X accountX (formerly Twitter))
"The real issue is not Apple but the duopoly of Visa/Mastercard" (Slashdot user @slashdot X (formerly Twitter))
On the MacRumors forum, payment users dismissed the lawsuit as "BS"MacRumors.

Despite divided opinions, the structural issues of "high card fees" and the "market dominance of devices with standard Apple Pay" have undeniably resurfaced.

5. Expert Opinions

Cliff Gray of Gray Consulting noted in an interview with Digital Transactions that "as account-to-account instant payments like ACH, FedNow, and stablecoins grow, the sustainability of the card network's toll model is diminishing."account-to-account instant paymentsDigital Transactions. Even if the lawsuit itself calms down, social scrutiny on fees continues to intensify.

6. The "Next Battlefield" Watched by the EU and U.S. DOJ

In 2023, Apple was required by the EU to open iPhone NFC to third parties, and it began providing APIs in stages from May this year. The U.S. Department of Justice is also broadly investigating NFC restrictions and App Store fees—the recent dismissal was merely due to "insufficient evidence," leaving room for Apple to be targeted again if the regulatory lens changes.

7. Future Scenarios

1. Plaintiffs to refile within 30 days: Submission of more detailed internal emails and contracts is key.

2. Renewed debate on fee regulation in Congress: The "Credit Fee Cap Bill," akin to the second Durbin Amendment, is scheduled for reintroduction in the fall.

3. Expansion of alternative networks: With collaboration with FedNow and Real-Time Payments (RTP), there is a possibility for Apple Pay to become cardless.

8. Conclusion: The Moment the Invisible Wall Became Visible

The ruling is a short-term victory for Apple, Visa, and Mastercard, but the criticisms of the duopoly and the dependency on mobile payment platforms remain unresolved. The buzz on social media reflects how invisible the burden of fees as everyday costs can be. Balancing innovation and competition promotion—tug-of-war among consumers, merchants, and platformers continues.