Apple rejects Spotify’s replace with pricing data for EU customers

Replace April 25, 2024 8.30AM ET: Spotify advised that Apple has rejected the music streaming service’s replace. 

“Apple has as soon as once more defied the European Fee’s determination, rejecting our replace for making an attempt to speak with prospects about our costs except we pay Apple a brand new tax. Their disregard for customers and builders is matched solely by their disdain for the legislation,” a Spotify spokesperson mentioned.

In a reply to Spotify, Apple mentioned that Spotify’s modifications can be permitted if the corporate accepted Apple’s phrases associated to Music Streaming Companies Entitlement (EEA). Right here is Apple reply to Spotify in full:

Hi there workforce at Spotify,

We’re reaching out to let you recognize about new data concerning your app, Spotify – Music and Podcasts, model 8.9.33.

As it’s possible you’ll bear in mind, Apple created a brand new Music Streaming Companies Entitlement (EEA) for iOS and iPadOS music streaming apps provided in EEA storefronts. The entitlement permits music streaming apps to make use of buttons, exterior hyperlinks, or different calls to motion to direct prospects to a purchase order mechanism on a web site owned or managed by the developer. You will need to settle for its phrases earlier than including any of those capabilities to your app. Please discover extra details about the entitlement here.

We word that your present submission features a name to motion to buy a Spotify subscription in your web site. As such, you will need to settle for the phrases of the Music Streaming Companies Entitlement (EEA) and embody the entitlement profile in your app for submission. To be clear, this entitlement is required even when your app doesn’t embody an exterior hyperlink (nor does it require that you just supply an exterior hyperlink). We’ll, nevertheless, approve model 8.9.33 after you settle for the phrases of the Music Streaming Companies Entitlement (EEA) and resubmit it for assessment.

The European Fee mentioned it assesses if Apple has totally complied with its determination. The fee additionally mentioned that it’s going to assess Apple’s App Retailer modifications in relation to DMA.

“Normally, if the Fee suspects that there’s non-compliance with an adopted determination, it can ship the enterprise involved a Assertion of Objections (‘S0’) explaining why it believes there may be non-compliance,” a spokesperson for the European Fee advised .

The headline has been modified to replicate that. The unique story follows.

Spotify mentioned Wednesday that it has submitted a brand new model of its app for EU customers with pricing data and fundamental web site data. Critically, the model doesn’t include the hyperlink to the web site.

The music streaming firm mentioned it’s not opting into Apple’s new Digital Markets Act (DMA) modifications that cost a “core technology fee” for builders with greater than 1 million annual downloads.

The corporate mentioned that the brand new replace options naked minimal particulars which can be in step with the European Fee’s ruling.

“Regardless of Apple’s makes an attempt to punish builders with new charges, we stay dedicated to giving customers an actual alternative in our app at no elevated value. That’s why now we have submitted a brand new replace to Apple. It options fundamental pricing and web site data – the naked minimal outlined underneath the European Fee’s ruling in its music streaming case,” Dustee Jenkins, Spotify’s chief public affairs officer, mentioned in a press release.

“By charging builders to speak with customers by in-app hyperlinks, Apple continues to interrupt European legislation. It’s previous time for the Fee to implement its determination so that customers can see actual, optimistic advantages.”

The model is but to be permitted by Apple, so Spotify will nonetheless have to attend till it goes dwell. As soon as Apple approves this, Spotify’s free customers within the EU will have the ability to see the perks and pricing data of various premium plans.

Nevertheless, they gained’t have the ability to click on on a hyperlink to go to the corporate’s web site and purchase these plans. Spotify mentioned that the ultimate model may have language indicating that customers might want to go to the web site through their browsers and purchase a plan.

Final month, Spotify submitted a similar update to the App Store with a link to its website. Nevertheless, Apple didn’t approve that model, and the music-streaming firm didn’t hear again from Apple.

Spotify argues that underneath the DMA, gatekeepers (on this case, Apple’s App Retailer) ought to enable companies to advertise completely different affords to customers on their apps.

Spotify submitted the earlier replace after the European Fee slapped a effective of €1.84 billion ($ 2 billion) on Apple for the corporate’s anticompetitive practices within the music-streaming market. In response, Apple mentioned it plans to problem EC’s determination.

“Any longer, Apple should enable music streaming builders to speak freely with their very own customers, be it inside the app, or by e-mail, or some other method of speaking,” EC commissioner Margrethe Vestager mentioned at the moment.

Natasha Lomas contributed to the report.


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