Apple was hit with a 1.84-billion-euro (US$2 billion) EU antitrust fine on Monday, its first ever, for its App Store rules preventing Spotify and other music streaming services from informing users of payment options outside its App Store.
Reuters:
The European Commission’s decision was triggered by a 2019 complaint by Swedish music streaming service Spotify over this restriction and Apple’s 30% App Store fees.
MacDailyNews Take: Spotify pays 15% and has for years according to Apple’s App Store guidelines.
The fine dwarfed the 500 million euros sources with knowledge of the matter had told Reuters they expected the Commission to mete out to Apple.
The regulator said in a statement it added an additional lump sum of 1.8 billion euros as a deterrent to Apple… EU antitrust chief Margrethe Vestager said this was the first time the Commission has added a deterrent lump sum on top of an antitrust fine as a deterrent.
“For a decade, Apple abused its dominant position in the market for the distribution of music streaming apps through the App Store,” EU antitrust chief Margrethe Vestager said in a statement. “They did so by restricting developers from informing consumers about alternative, cheaper music services available outside of the Apple ecosystem. This is illegal under EU antitrust rules,” she said.
MacDailyNews Take: You know, because the EU and the ditz Vestager have forced deaprtment stores and other retailers to place signs next to each product in their stores that advertise lower prices for the same items at their competitors.
By the way, as per “competition” in the market: Spotify has a 56% share of the worldwide music streaming market vs. 20% for Amazon Music and 11% for Apple Music (MIDiA, 2022).
Apple criticised the EU decision, saying it would challenge it in court. A ruling at the Luxembourg-based General Court, Europe’s second-highest, is likely to take several years. Until then, Apple will have to pay the fine and comply with the EU order.
“The decision was reached despite the Commission’s failure to uncover any credible evidence of consumer harm, and ignores the realities of a market that is thriving, competitive, and growing fast,” the company said in a statement.
Spotify is a low-fi, non-spatial moocher.
Spotify wants all the benefits of a free app without being free. – MacDailyNews, May 29, 2019
Spotify… has already been eclipsed by Apple Music in the world’s No.1 market for recorded music, the United States of America. Seeing the writing on the wall, Spotify runs whining to the EU like little babies crying for mommy; not a shred of dignity left.. — MacDailyNews, March 15, 2019
This boils down to the fact that Spotify wants to use the platform that Apple built and maintains at great expense for free. – MacDailyNews, March 13, 2019
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The good news about this is that if indeed Apple is fined they will be able to pay it without selling any of their assets.
So I understand, if dominant Walmart sells a product and Target sells the same thing, Target should have the right and be able to advertise INSIDE a Walmart store they have the same product for a cheaper price???
Yeah, no that would never happen #idiocy.
The EU is absolutely nuts and Spotify is a I want something for nothing freeloaders.
I think I liked it better when Applewas considered irrelevant
As the infamous warmonger who doesn’t deserve to be named once said, “Fuck the EU”
It’s almost as if a company can be (unreasonably) fined for being successful.
Again, the smell of state-ism in the morning. One may like the heavy hand of the state acting against your unpleasant “neighbor,” until the state favor turns against your-kind.