Spotify files antitrust complaint over ‘Apple tax’
Wednesday, 13 March 2019 Spotify announced this morning that it’s filed an antitrust complaint against Apple with the European Union, alleging that the iPhone maker is harming consumer choice and stifling innovation via the rules it enforces on the App Store.
As Spotify’s CEO Daniel Ek outlined in a blog post, the company is annoyed about the 30 percent cut Apple takes from subscription purchases on the App Store. This “tax,” suggests Ek, seems designed to harm streaming services that compete with Apple’s own.
"‘pay the Apple tax or your product gets it’"
Ek says that if Spotify pays this cut it has to “artificially inflate” its prices “well above the price of Apple Music.” But if it doesn’t pay, Apple applies “a series of technical and experience-limiting...
Spotify has lodged a complaint with European Union antitrust regulators over the 30 percent commission that Apple takes from third-party developers' revenue on its app store. It follows a similar lawsuit brought to the U.S. Supreme Court. Matthew Larotonda reports.
Apple Surpasses Spotify With Most Paid US Subscribers A report in the Wall Street Journal says that at the end of February, Apple had 28 million paid U.S. subscribers. Spotify had 26 million. Sources..