Brussels has listened to Spotify. The European Competition Commission will launch an antitrust investigation against Apple after the streaming music platform formally complained about the conditions that the US company establishes in its ecosystem.
According to the Financial Times, Competencia has acknowledged receipt of the complaint filed by Spotify in March and has asked clients, rivals and other third parties in the market to know if there was a basis to initiate an investigation for abuse of a dominant position.
At the moment there is no formality of the processing of the investigation and both the companies and the agency have not ruled on the matter, but in the event that some action is finally taken against Apple, could change the terms of service and apply a fine up to 10% of the global turnover.
In any case, investigations of this type do not have established deadlines and may take years to resolve. Of course, companies can accelerate the process and avoid fines by offering to resolve part of the disputed conflicts with changes in the conditions in relations with third parties.
Cross of accusations
The music service argued that Apple was conducting unfair competition since the rules it establishes in its ecosystem “deliberately limit and harm” its business. Among them, Spotify argued that Tim Cook’s company demands a 30% commission on each transaction or that it has not been able to compete under the same conditions to be on Siri or on HomePod.
Days later Apple answered the company arguing that the music platform “wants all the benefits of a free app without being”. Clarified that the percentage of 30% have all the apps that offer paid content from the App store and explained that he has worked on multiple Spotify updates in iOS.
The truth is that the complaint of Spotify before the European authorities comes at a time when the Swedish company is competing strongly against Apple Music, the alternative of the American company.
In recent days, Spotify has surpassed the barrier of 100 million paid users, a milestone in the sector, achieved thanks to its arrival in India and the Middle East. However, Apple Music has managed to outperform Spotify in this type of users in the US, where it already has more premium accounts.