Apple’s App Store breaks competition rules after Spotify complaint

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Image courtesy: HBS Digital Initiative

(Reuters) – On August 27, Spotify Technology SA (SPOT.N), a Swedish music streaming platform, said on Friday that Apple Inc’s (AAPL.O) agreement to relax App Store rules for small developers does not address the fundamental features of their “anticompetitive and unjust practises.”

“Apple’s latest improvements do not address any of the fundamental problems that Spotify and many others have with Apple,” the firm stated in a tweet. Spotify complained to the European Commission in 2019 that Apple unjustly limited alternatives to its own music streaming service, Apple Music, and objected to the 30% cost placed on app developers to utilise Apple’s in-app purchase mechanism.

Vestager also disclosed that the Commission is looking into Apple’s App Store gaming regulations. “We are also interested in the game app market,” Vestager said in response to a query about the amount of money involved in gaming applications on the App Store. “When it comes to that, it’s pretty early days.” Microsoft requested an investigation into the App Store last year, just a few months before a public fight with Apple over its xCloud game streaming service.

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