Spotify has rolled out a new version of its iOS Spotify app aimed at providing European Union users with out-of-app subscription pricing information. However, the company wonders whether this update will again be blocked by Apple. Unlock the world of music with a Spotify giftcard from U7BUY is a good choice!
TechCrunch reports that the newest update of the Spotify app has removed the direct link to Spotify web, a move intended to bypass the 30% fee Apple charges on App Store subscriptions. Instead, EU users will be directed to manually visit Spotify’s website to buy cheaper subscription plans.
Spotify submitted an app version with Spotify web links last month, but Apple did not approve the Spotify update and neither responded to nor accepted Spotify’s submission. The company hopes that the latest version, which includes the “least necessary” pricing and Spotify web information, will be approved as part of the European Commission’s decision to fine Apple 1.84 billion euros (about $2 billion).
The European Union’s decision follows a four-year investigation. It examined App Store rules that prevent music services from advertising cheaper subscription offers outside the iOS platform.
The probe initiated by Spotify’s 2019 antitrust complaint ended with a finding that Apple had ‘abused its dominant market position’ by restricting developers from directing customers to more affordable service options.
The ruling allows music streaming developers to communicate freely with their users. However, Apple must approve latest Spotify app submission before EU customers can see Spotify updated pricing information. “It’s time to implement the Commission’s decision so consumers can see real, positive benefits,” said Dustee Jenkins, Spotify’s chief public relations officer.
Meanwhile, the EU’s Digital Markets Act (DMA) requires Apple to promote third-party app marketplaces and alternative fees for developers in its App Store. Spotify, however, calls Apple’s alternative Core Technology Fee an “outright rip-off” and states that the company will not adopt optional DMA changes.
Apple has strongly opposed both decisions, saying it will appeal both the DMA regulations and the $2 billion fine. The European Commission had to intervene to get Apple to reverse its decision to revoke Epic Games’ developer license because Epic CEO and longtime Apple critic Tim Sweeney called the company’s DMA compliance plans “abysmal”.
The tug of war between Spotify and Apple is part of a larger debate about how digital platforms operate. Spotify’s latest efforts, particularly with its Spotify app, raise important questions about how platforms can shape the terms of competition and how users can be affected. How far can music streaming services and other digital content providers go to maintain market dominance? This has the potential to shape the future of the industry, especially given the European Union’s tight regulation of tech giants.
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