Spotify, the popular music streaming platform, has accused Apple of undermining the objectives of the European Union’s Digital Markets Act (DMA) through its proposed “Alternative App Store” changes. This accusation comes after years of Spotify calling on the European Commission to take action against Apple for anticompetitive practices.
The DMA was seen as a positive step by Spotify, as it believed that Apple would be forced to comply with new regulations that promote fair competition and innovation. However, Spotify now claims that Apple’s recent actions demonstrate a lack of respect for the rules and calls Apple’s plan a “complete and total farce.”
Spotify’s co-founder and CEO, Daniel Ek, stated that Apple’s proposed alternative to the DMA’s status quo is unviable and penalizes successful developers. He believes that Apple’s actions mock the spirit of the DMA and the lawmakers who drafted it.
Spotify is urging the European Commission to enforce the DMA and reject Apple’s “blatant disregard” for its principles. The company warns that if the Commission does not take action, Apple’s control over the app store ecosystem could persist.
Apple’s proposed “Alternative App Store” model for its European Union users could potentially cost developers, including Meta Platforms Inc., millions of dollars in yearly payments. Apple announced that developers using third-party app stores or payment providers in the EU would have to pay a “Core Technology Fee.”
According to Apple’s developer support website, developers who achieve exceptional scale on iOS in the EU will pay a Core Technology Fee of €0.50 for each first annual install over one million in the past 12 months.
These developments highlight the ongoing battle between Spotify and Apple, with Spotify arguing for fair competition and Apple defending its control over its app store ecosystem. The outcome of this dispute will have significant implications for the tech industry and app developers.
In conclusion, Spotify has leveled accusations against Apple for allegedly subverting the goals of the DMA through its proposed “Alternative App Store” changes. Spotify is urging the European Commission to enforce the DMA and reject Apple’s actions. This dispute highlights the ongoing struggle for fair competition in the app store market and will have far-reaching implications for the industry.
