Spotify – the unrivaled music streaming player – is facing a face-off in the EU over the latest app update. The update enables Spotify to redirect users to appointment pages and present them with information about subscription prices from Spotify. Therefore, they can directly check the app to convert to a subscription. However, following this EU fine imposed on Apple for hindering the discounting of music services through third parties, the EU is fining Google for preventing advertising competition within search results.
However, Spotify announcements show that Apple has refused approval after nine days of its update, reducing the company’s ability to comply with the EU decision. This raises suspicions that perhaps the entire process will be postponed by Apple or that they will find some way, somewhat vague, to get out of the rules. Spotify says this goes against the deadline Apple has publicly announced as a 24-hour review period.
The issue is further complicated by the fact that the EU has also approved regulations such as the Digital Markets Act (DMA), which aims to create a better, more competitive digital environment and limit the monopoly of a few companies and their dominated markets. Have to break. By DMA, Spotify is allowed to avoid distribution through the App Store in the EU, but the Cupertino-based company will be charged a fee for each user when the new rules come into effect. Spotify does not pay these App Store commissions but instead uses the App Store streaming option. Here, Apple forces Spotify to share its revenues with it via the DMA function, to allow Spotify to advertise its subscription website within its application, but also imposes new rules and fees on it. Are applicable.
In such a situation, each side is trying to present its point of view and EU users are being found in the middle by being neutral. The intentions of these two industries are different. Spotify wants to provide customers with a more affordable offering, while Apple wants to make money from its App Store disposition and in-app purchases. The outcome of this battle makes it immediately clear that setting boundaries in which regions will have the ability to determine how effective a streaming service is.
