“The US Federal Trade Commission launched an investigation into Apple, focusing on potential antitrust violations in their music business,” Chris DeMuth Jr. writes for Seeking Alpha. “Congressional pressure is rising on the FTC to act on their findings. If the US brings a case against Apple, it will focus on anticompetitive practices aimed against Spotify. Apple’s view is that they do not have an obligation to avoid disadvantaging competitors on their platform. The US DoJ and many in congress disagree.”
“What do they object to? One problem is when Apple ties products such as Apple Music and iOS together in order to monopolize one or both product markets. For example, Apple ties the App Store to its payment system, allowing it to price beneath Spotify and preventing Spotify from offering discounts through iOS.,” DeMuth Jr. writes. “The DoJ is also concerned that Apple blocks Spotify from updating iOS using consumers with information about discounts.”
Full article, with DeMuth Jr.’s “trial of the century” disclaimer, here.
MacDailyNews Take: Blah, blah, blabity-blah-blah.
Once again, these are Apple’s platforms, built from the ground up. Apple owns them. Hence, Apple can charge what they like for the use of their App Store infrastructure.
Anyone who doesn’t like it, including Spotify or… oh, we don’t know, the developers of the “Make Me Indian” app 😉 can make their own smartphone platform or go to other smartphone platforms, including one with 86.2% market share as measured by units shipped which — drumroll, please — neatly negates any and all imperiously vapid antitrust claims of Apple having a “monopoly” in smartphones.
Apple’s App Store anti-competitive? Spotify and Elizabeth Warren think so – July 15, 2016
Elizabeth Warren accuses Apple of monopolistic-like actions; Spotify concurs – June 29, 2016