Spotify Files European Complaint, Saying Apple Has "Unfair Advantage"

Spotify Files European Complaint, Saying Apple Has

Spotify started encouraging customers to boycott in-app purchases for its own Premium subscription in 2015.

Spotify is hoping that, in Europe at least, the EC will force Apple to apply the same rules to Spotify as it does to its own Apple Music, allowing it to compete "fairly on the merits, and not based on who owns the App Store".

Spotify fired a broadside at Apple today as it reported its rival to the European Union competition authorities over the way that the tech giant's App Store works.

A source told Business Insider that the difference is how Apple and Google behave with apps that circumvent their app-store fees.

Spotify founder Daniel Ek says Apple gets away with the gambit by circumventing existing rules by governing "self-interested" promotion app stores and marketplaces of the like. This fee is largely responsible for Apple's $10 billion in services revenue per quarter, with relatively small amounts from licenses (default search engines etc.), subscriptions such as Apple Music, and Apple Pay and Apple Care for the remaining.

The complaint, which was entered by the Sweden-based steaming service on Monday, says U.S. software giant Apple deliberately stifles competition in the online music market to the benefit of its own streaming service, Apple Music.

Despite having an alternative of bypassing Apple's payment system, Ek also expressed the futility in doing so; Apple will then implement various restrictions that causes limitation in communication among Spotify and its users.

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Spotify made an announcement in its newsroom, revealing that the company has filed an antitrust complaint against the Cupertino tech giant with the European Commission.

He writes that Apple continues to give themselves an unfair advantage at every turn.

App Stores should not be allowed to control the communications between services and users.

"All of these actions by Apple make it untenable for us as a competitor, and for us as a player in the global competitive ecosystem, to stand by and not take action", said Mr Gutierrez.

Spotify wants the same treatment as other App Store apps like Uber and Deliveroo, "who aren't subject to the Apple tax and don't have the same problems". Ek insists that Spotify isn't seeking special treatment in filing this motion.

The penalty for not going along with Apple's policy on purchases, however, can be far-reaching, the Spotify CEO claims. Ek believes "we should all be subject to the same fair set of rules and restrictions" - including Apple Music.

Consumers should have a real choice of payment systems, and not be "locked in" to one particular service.

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