The European Commission wants Apple to stop blocking music services such as Spotify from linking to alternative subscription options outside the App Store. Bloomberg writes this based on sources. The EC would like to make this decision next year.
The European Commission is now finalizing a decision banning Apple from hindering music services from promoting subscriptions outside of Apple’s ecosystem. writes Bloomberg. Currently, music streaming services are not allowed to tell their customers that they can also take out a subscription outside the app, for example via the service’s website. Apple wants as many subscriptions as possible to be purchased in the app itself, whereby the service provider is obliged to use Apple’s payment system. The provider contributes up to thirty percent of the revenue to Apple.
It was already known that the European Commission was investigating Apple’s behavior around music streaming services. The Commission started this investigation after complaints from Spotify in March 2019. The music streaming service states that such Apple conditions create unfair competition. Apple said at the time that it incurred costs to, for example, create the App Store platform and development tools that Spotify uses. Therefore, the thirty percent percentage would be justified.
The European Commission would like to make the decision ‘early next year’. There may also be a fine of up to ten percent of Apple’s turnover. Earlier this year, the European Commission said that the investigation focused on the way in which app publishers are limited in their communication with customers regarding subscriptions.