Spotify files new EU anti-trust complaint against Apple
Apple is abusing control of the iOS platform and App Store, claims Spotify
Music streaming service Spotify has filed a complaint with competition authorities in the European Union against Apple, claiming that the company unfairly restricts competition to its own Apple Music service on its own platforms.
Its complaint suggests that Apple is using control over its App Store to impose fees on rival services that its own services aren't subjected to.
Apple started Apple Music in 2015, eight years after Spotify was established. Apple's iTunes media player and music download store, however, was started up in January 2001.
"In recent years, Apple has introduced rules to the App Store that purposely limit choice and stifle innovation at the expense of the user experience - essentially acting as both a player and referee to deliberately disadvantage other app developers," claimed Daniel Ek, Spotify co-founder and CEO.
He continued: "After trying unsuccessfully to resolve the issues directly with Apple, we're now requesting that the EC take action to ensure fair competition."
With Apple essentially providing a "gateway to the internet" via its control of the iOS platform and App Store, "they continue to give themselves an unfair advantage at every turn," added Ek.
The complaint comes as PC app stores are embroiled in a price war that has seen games company Epic radically undercut the level of commission charged by Steam for PC games sales. Steam current charges a 30 per cent commission, progressively reducing to 20 per cent when certain sales are achieved, while Epic charges 12 per cent.
Likewise, Microsoft recently slashed commissions on non-games apps in its Microsoft Store - but kept games commission at 30 per cent in order not to undercut its Xbox revenue streams.
Ek added that Apple also restricts Spotify's rights on its platform in other ways. "If we choose not to use Apple's payment system, forgoing the charge, Apple then applies a series of technical and experience-limiting restrictions on Spotify. For example, they limit our communication with our customers—including our outreach beyond the app.
"In some cases, we aren't even allowed to send emails to our customers who use Apple. Apple also routinely blocks our experience-enhancing upgrades. Over time, this has included locking Spotify and other competitors out of Apple services such as Siri, HomePod, and Apple Watch."
It's not the first time that the two companies have clashed over Apple's insistence that Spotify must pay a 30 per cent commission on all Spotify subscriptions - including recurring subscriptions - bought via the Apple App Store.
In turn, Apple has accused Spotify of demanding ‘special treatment' from the technology company, "but we simply will not do that because we firmly adhere to the principle of treating all developers fairly and equitably".