Apple to face EU antitrust investigation because of Spotify, says report

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Spotify app on an iPhone.


Oscar Gutiérrez/CNET

Apple might be in some hassle over in Europe due to doable antitrust practices introduced up by Spotify.

The European Fee, which handles the day-to-day enterprise of the European Union, will launch a proper investigation within the coming weeks to research Apple’s practices with music subscription providers, in keeping with the Monetary Instances. Spotify filed the antitrust criticism in March.

Within the criticism, Spotify mentioned Apple charged subscription corporations a 30% payment for in-app purchases whereas different non-subscription apps did not should pay any payment. The music-streaming firm acknowledged in its criticism that Apple is making an attempt to stifle aggressive music providers.

The iPhone maker responded in March saying the allegations have been deceptive and that “Spotify would not be the enterprise they’re immediately with out the App Retailer ecosystem.” Apple additionally mentioned the 30% payment drops to 15% after the primary 12 months and continues to drop the next years. Apple accused Spotify of wanting a “free trip.”

Spotify revealed in its first-quarter earnings stories that it reached 100 million subscribers on the finish of March and 217 million individuals use the service at the very least as soon as a month. Compared, Apple mentioned it had 50 million subscribers to Apple Music again in January. 

Apple and Spotify did not instantly reply to requests for remark. 

Initially printed Could 6, 6:46 a.m. PT. 
Replace, Could 6, 7:09 a.m. PT: Provides newest subscriber numbers for Spotify and Apple Music.

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