“Spotify, which launched a year after the 2007 launch of the iPhone, said on Wednesday that Apple’s control of its App store deprived consumers of choice and rival providers of audio streaming services to the benefit of Apple Music, which began in 2015,” Blenkinsop reports. “Central to Spotify’s complaint, filed to the European Commission on Monday, is what it says is a 30 percent fee Apple charges content-based service providers to use Apple’s in-app purchase system.”
“Horacio Gutierrez, Spotify’s general counsel, said the company was pressured into using the billing system in 2014, but then was forced to raise the monthly fee of its premium service from 9.99 to 12.99 euros, just as Apple Music launched at Spotify’s initial 9.99 price,” Blenkinsop reports. “Spotify then ceased use of Apple’s IAP system, meaning Spotify customers could only upgrade to the fee-based package indirectly, such as on a laptop.”
“Voice recognition system Siri would not hook iPhone users up to Spotify and Apple declined to let Spotify launch an app on its Apple Watch, Spotify said,” Blenkinsop reports. “Spotify declined to say what economic damage it believed it had suffered.”
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MacDailyNews Take: Bottom line: Increasingly desperate Spotify — which is now losing to Apple Music in the world’s No.1 recorded music market, the United States — wants to use the platform that Apple built and maintains at great expense for free.
Samsung to preinstall Spotify on phones – March 8, 2019
Streaming services led by Apple Music account for 75 percent of the U.S. recording industry’s revenue – March 1, 2019
Apple Music now leads Spotify in the U.S., the No. 1 recorded music market – December 31, 2018