Spotify has once again raised concerns about Apple’s 30 percent commission on App Store apps, which it largely doesn’t apply to, saying it harms competition and limits consumer choice.
As stated earlier, Spotify believes that companies must be able to compete on a level playing field to win over consumers. In a new press release, the company argues that Apple’s restrictive policies are contrary to this principle and unfairly favor its own financial interests.
Spotify notes that despite some progress in Europe, global regulatory intervention remains insufficient. This, according to Spotify, allows Apple to maintain monopoly control over the App Store, increasing costs for consumers and stifling innovation among developers.
The company has raised concerns about Apple’s practices, saying they have a negative impact on user experience and innovation. An example provided by Spotify is the need to create a complex process for audiobooks due to Apple’s limitations, resulting in a suboptimal user experience.
In addition, Spotify notes that it cannot inform customers about prices for Premium membership upgrades, provide alternative payment options outside of Apple’s guidelines, or introduce new features without Apple’s express permission.
Spotify has expressed concerns about revealing Apple’s confidential business plans during the approval process, which could give its main competitor an unfair advantage. They also point out the inconsistent nature of Apple’s policy of exempting Apple apps like Apple Music from the 30% fee, putting third-party developers and their customers at a disadvantage.
As it turns out, Spotify is also virtually free of Apple’s 30% commission. After the first year of subscription, Apple’s commission drops to 15%.
The ongoing battle between Apple and Spotify has been going on for years. In 2019, Spotify filed anti-competitive complaints against Apple in the European Union.
In July 2023, the company announced that it would cut off the remaining customers who paid for Spotify Premium through the App Store.
Apple countered Spotify’s claims, saying the company, among other things, wants to “get all the benefits of a free app without being free.”