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Music streaming firms urge European Commission to reject Apple's proposal in App Store case
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Music streaming firms urge European Commission to reject Apple's proposal in App Store case
May 8, 2024 1:23 PM

May 8 (Reuters) - A group that represents audio

streaming firms including Spotify ( SPOT ) and France's Deezer

in Europe has urged the European Commission to reject

Apple's ( AAPL ) proposal in a music streaming case.

Digital Music Europe expressed concern in a letter submitted

to the European Commission on Tuesday that Apple's ( AAPL ) proposal to

comply with the regulator's March order, in which the

iPhone-maker was fined 1.84 billion euros ($1.98 billion), does

not provide concrete and effective remedies.

"Apple's ( AAPL ) new entitlement for music streaming services is a

discriminatory program that forces competitors to opt into a new

regime run by Apple ( AAPL )," the letter added.

Apple ( AAPL ) was fined by the EU in March for thwarting competition

from music streaming rivals via restrictions on its App Store.

Subsequently, the iPhone-maker announced measures to make it

easier for music streaming apps on its App Store in the European

Economic Area to inform users of other ways to purchase digital

services, as it looks to comply with a European Union mandate.

Under Apple's ( AAPL ) proposal, streaming services can include links

to their websites to inform users of payment options outside its

App Store and the company would charge a 27% commission on

transactions made through a link.

Apple ( AAPL ) said the developers can provide information about

purchases available on their website to users through email as

well.

The European Commission and the firms represented by Digital

Music Europe, including Deezer, Qobuz and SoundCloud, Jamendo

and Soundcharts did not immediately respond to requests for

comment. Spotify ( SPOT ) declined to comment.

Last month, Apple ( AAPL ) rejected Spotify's ( SPOT ) new version of iOS app

with in-app pricing information for users in the European Union,

as the streaming firm does not want to be a part of Apple's ( AAPL )

proposal.

($1 = 0.9310 euros)

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