Spotify claims that Apple has prevented the music streaming service from informing users of payment options other than the App Store.
The EU has slapped Apple with an antitrust fine of more than 1.8 billion euros ($1.95 billion) following complaints from music streaming service Spotify.
The US tech giant said on Monday it would immediately appeal the fine. This is the first antitrust fine imposed on the company by the city of Brussels.
The European Commission said the charge was triggered by Spotify's complaint in 2019 that Apple prevented the music streaming service from informing users of payment options outside the App Store.
The European Union's competition regulator said Apple's restrictions amounted to unfair trading conditions. This is a relatively new argument in antitrust cases, but it was also used by Dutch antitrust authorities in their 2021 ruling against Apple in a lawsuit brought by a dating app provider.
“For a decade, Apple has abused its dominant market position in distributing music streaming apps through the App Store,” EU antitrust chief Margrethe Vestager said in a statement.
“They did so by restricting developers from providing information to consumers about alternative, cheaper music services available outside the Apple ecosystem. It’s illegal.”
'No evidence'
Apple criticized the EU's decision and said it would challenge it in court.
“This decision was reached despite the European Commission's failure to uncover any credible evidence of consumer harm and ignores the realities of a prosperous, competitive and rapidly growing market,” the company said in a statement. “I am doing so,” he said.
“The main proponent and biggest beneficiary of this decision is Stockholm, Sweden-based Spotify. Spotify operates the world's largest music streaming app, and during this investigation it has been in contact with the European Commission for 65 years. I met with him more than once.”
The Swedish company said it does not pay a fee to Apple because it sells subscriptions on its website rather than on Apple's App Store.
control
The EU is looking to crack down on Big Tech companies, slapping Google with billions of dollars in fines and accusing Meta of distorting the online classified advertising market.
Apple's fine is about a quarter of the 8.25 billion euros (about $8.95 billion) in fines that EU regulators have imposed on Google in three cases over the past decade.
Mr. Vestager also launched a separate antitrust investigation into Apple's mobile payment services. Apple is trying to solve this problem by offering to open up its tap-and-go system to rivals.
Apple's order to lift App Store restrictions reflects requirements under new EU rules known as the Digital Markets Act (DMA), which Apple must comply with by March 7.
