Spotify, Deezer, Basecamp and a group of five other European companies are asking the Commission to counter Apple and the alleged obstacles it places in theApp Store. Practices that the companies describe as anti-competitive practices, so much so that “rapid and decisive action” against Apple would be needed.
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Spotify, Deezer and Basecamp against Apple
The music streaming companies then wrote a letter, also signed by five others, which focuses primarily on the App Store. He says Apple puts “artificial obstacles” in their way, charges “excessive” fees. Even, they claim that Apple contributes “whimsical changes” to the rules.
According to the companies, the EU “must act quickly as each passing day is a loss for innovation and for the well-being of European consumers”.
Spotify has been fighting Apple’s control of the App Store for years. Do you think that the first antitrust complaint in Europe came in 2019. The European Commission agreed with Spotify in its initial conclusions in 2021, writing that Apple had “abused its dominant position” on the distribution of music apps. But nearly two years later, the investigation continues.
In the meantime, however, the ratification of the Digital Markets Act of the European Union you are approaching. The law will likely designate Apple as “gatekeeper“, demanding that the company loosen its grip on iOS and the App Store. Something that Apple is already planning to do, meeting the rules without losing revenue.
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The main issue reported by European companies is that Apple requires all iOS apps to use payments through the App Store. With companies that have to yield 15-30% of revenue on digital purchases for the service. Additionally, Apple limits app makers’ ability to inform their customers of cheaper options elsewhere. This would put companies at a disadvantage compared to Apple Music, Apple’s streaming service.
At this time, Apple has not released any statements regarding this letter. That could speed up the DMA application process.