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Spotify files complaint against Apple for unfair practices!

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Spotify announced that they are filing a complaint against Apple. This is due to alleged unfair practices from the latter.
Spotify files complaint against Apple for unfair practices
Spotify files complaint against Apple for unfair practices

Spotify files complaint against Apple!

Spotify outlines how Apple hamper competitors through the App Store
Spotify outlines how Apple hamper competitors through the App Store

Spotify filed the complaint with the European Commission. This is due to Apple's alleged anti-competitive and discriminatory behavior with regard's to its operation of the App Store. According to Spotify, Apple has made it difficult for companies to provide their services to their customers. Spotify outlined the entire outline of the events that goes back to 2010 when Apple started implementing changes for the guidelines of App Store.

Apple moved in and changed how in-app purchases are paid and forced developers to use the iTunes payment system which comes with a 30 percent cut. When Spotify chose not to use the Apple's preferred payment system, they could no longer allow their users to upgrade to Premium plans through their own app.

Apple also prohibited developers from providing external links to external payment systems or even hinting alternative payment systems in their apps. Spotify also stated that Apple barred them from having an Apple Watch app or allow their app to work with Siri. Even the HomePod did not have support for apps like Spotify when it launched.

The biggest conflict in this is that Apple also have their own music streaming service called Apple Music. This is a direct competitor to Spotify, When Spotify upped their prices, Apple Music looked like the better deal since it has a lower price because it does not have to pay "Apple Tax".

Other services such as Amazon's Kindle and Netflix also showed dismay with "Apple Tax" by not allowing users to buy books and subscription plans from their apps. This is their way of circumventing paying Apple 30 percent of their revenue.

Spotify is not suing for money. Instead, they are suing to get a fair set of rules that apply to everyone in the App Store. Some apps such as Uber does not pay "Apple Tax" and allows users to make payments without using the Apple payment system. They also want to push consumer's freedom of choice in terms of payment systems they want to use within the app.

Source: GSMArena
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