Apple slams Spotify's claim that it abuses its power with App Store

Apple says Spotify wants benefits of a free app without being free

In a blog Daniel Ek, co-founder of the music-streaming service, said it had made a decision to file its anti-trust complaint because Apple had changed App store policies to "purposely limit choice and stifle innovation".

In response, Apple addressed each complaint point by point, while criticizing Spotify's treatment of musicians and artists.

In the letter, Apple accused Spotify of being stingy, saying they want to enjoy the benefits the App Store ecosystem provides without paying into it. This is evident in Apple's belief that Spotify's users on iOS are Apple customers and not Spotify customers, which goes to the very heart of the issue with Apple. In recent years, Apple has introduced rules to the App Store that purposely limit choice and stifle innovation at the expense of the user experience-essentially acting as both a player and referee to deliberately disadvantage other app developers. We've approved and distributed almost 200 app updates on Spotify's behalf, resulting in over 300 million downloaded copies of the Spotify app. It notes that it doesn't charge apps that make their money exclusively through advertising, and that it doesn't subject apps that sell physical goods like ride-hailing and food delivery to the 70/30 revenue split.

Spotify claims we're blocking their access to products and updates to their app. Apple described Spotify's claims as "surprising", pointing out that the Swedish company has an Apple Watch app that's ranked as the top app in the wearable App Store's Music section.

Apple adds that it reached out to Spotify multiple times over Siri and AirPlay 2 support and every time they were informed that it was being worked upon.

ANYBODYTHOUGHT APPLE would take Spotify's anticompetitive complaint lying down clearly doesn't know Apple. This isn't just wrong, it represents a real, meaningful and damaging step backwards for the music industry, Apple said.

While Apple charges 30 percent digital revenue in the first year, it's 15 percent after that, it said, noting that Spotify has a double-standard about revenue-sharing. And we built a secure payment system - no small undertaking - which allows users to have faith in in-app transactions.

Apple Music accepted the new CRB rates, while Spotify, Amazon, Pandora and Google appealed against them.

The fruity cargo cult said Spotify "seeks to keep all the benefits of the App Store ecosystem without making any contributions to that marketplace". The company also points out that Spotify's Watch app is now the number one app in the Watch Music category. Secondly, Apple says that most people use the free version, so they see nothing and a whole bunch of users get it paid for via mobile carrier partners. "They're leveraging their scale to avoid contributing to maintaining that ecosystem for the next generation of app entrepreneurs", Apple writes. 'We think that's wrong'.

"Underneath the rhetoric, Spotify's aim is to make more money off others" work.

In the past, I've argued that the benefits of Apple's approach to the App Store outweigh the downsides. It points out that the 30% figure only applies to the first year, after which it halves.



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