Tag: apple

The European Commission Confirms, Apple’s Anti-Competitive Behavior Is Illegal and Harms Consumers

Today’s decision marks an important moment in the fight for a more open internet for consumers. The European Commission (EC) has made its conclusion clear: Apple’s behaviour limiting communications to consumers is unlawful. This decision sends a powerful message—no company, not even a monopoly like Apple, can wield power abusively to control how other companies interact with their customers.

Apple’s rules muzzled Spotify and other music streaming services from sharing with our users directly in our app about various benefits—denying us the ability to communicate with them about how to upgrade and the price of subscriptions, promotions, discounts, or numerous other perks. Of course, Apple Music, a competitor to these apps, is not barred from the same behaviour. By requiring Apple to stop its illegal conduct in the EU, the EC is putting consumers first. It is a basic concept of free markets—customers should know what options they have, and customers, not Apple, should decide what to buy, and where, when and how. 

While we appreciate the EC addressing this important case, we also know that the details matter. Apple has routinely defied laws and court decisions in other markets. So we’re looking forward to the next steps that will hopefully clearly and conclusively address Apple’s long-standing unfair practices.

From the beginning, the foundational belief of the internet is that it should be a fair and open ecosystem. That belief has fueled growth, innovation and discovery around the world. Today the leading way people access the internet is via their mobile phones. So why should the same principles not apply? And while we are pleased that this case delivers some justice, it does not solve Apple’s bad behaviour towards developers beyond music streaming in other markets around the world. Our work will not be done until we succeed in securing a truly fair digital marketplace everywhere and our commitment to helping to make this a reality remains unwavering.

A Letter to the European Commission on Apple’s Lack of DMA Compliance

Ahead of the European Union’s DMA implementation deadline next week, Spotify and many EU companies sent the following letter to the European Commission today raising concerns about Apple’s lack of compliance.

 

Mrs. Margrethe Vestager
Executive Vice-President – A Europe Fit for the Digital Age
European Commission

Mr. Thierry Breton
Commissioner for Internal Market European Commission

Dear Executive Vice-President, Dear Commissioner,

We are 34 companies and associations operating across a wide range of digital sectors, including aviation, publishing/press, gaming, commercial radios, audio streaming, applications software, communications, marketing, payment, fintech, crypto and marketplaces. Together, we represent tens of thousands of businesses of all sizes and we serve hundreds of millions of customers across Europe.

We are very concerned that Apple’s proposed scheme for compliance with the Digital Markets Act (DMA), as communicated on 25 January 2024, will not meet the law’s requirements therefore inhibiting our ability to deliver the benefits of the DMA to consumers as soon as possible.

Apple’s new terms not only disregard both the spirit and letter of the law, but if left unchanged, make a mockery of the DMA and the considerable efforts by the European Commission and EU institutions to make digital markets competitive.

There are a myriad of elements in Apple’s announcement that do not comply with the DMA. We take this opportunity to highlight some of the most obvious and egregious:

  • Apple is offering app developers an unworkable choice between staying on its current terms – which are manifestly not compliant with the DMA – or opting into new terms, implying that only app developers opting into the new terms will benefit from the DMA. This is a false choice and merely adds unnecessary complexity and confusion. Neither option is DMA compliant and both options would simply consolidate Apple’s stronghold over digital markets.
  • The new fee structure in the proposed new terms seems designed to maintain and even amplify Apple’s exploitation of its dominance over app developers. With a hefty transaction fee and a Core Technology Fee (CTF), few app developers will agree to these unjust terms. These fees will deter app developers from providing seamless in-app experiences for consumers, and will hamper fair competition with potential alternative payment providers.
  • Apple claims “the changes include new controls and disclosures, and expanded protections to reduce privacy and security risks the DMA creates.” This is masquerading unfounded privacy and security concerns to the detriment of user choice. Apple’s approach – such as the introduction of “scare screens” – will merely mislead and degrade the user experience, depriving them of real choice and the benefits of the DMA.
  • To succeed, the DMA must create opportunities for real competition, including alternative app stores and sideloading. New app stores are critical to driving competition and choice both for app developers and consumers. Sideloading will give app developers a real choice between the Apple App Store or their own distribution channel and technology. Apple’s new terms do not allow for sideloading and make the installation and use of new app stores difficult, risky and financially unattractive for developers. Rather than creating healthy competition and new choices, Apple’s new terms will erect new barriers and reinforce Apple’s stronghold over the iPhone ecosystem.

The European Commission’s response to Apple’s proposal will serve as a litmus test of the DMA and whether it can deliver for Europe’s citizens and economy.

In the absence of materially different proposals from Apple, we urge the European Commission to take swift, timely and decisive action against Apple, to protect developers and benefit consumers and do so as soon as the DMA obligations apply. This is the only way to guarantee the DMA remains both credible and delivers competitive digital markets.

Yours sincerely,
The Signatories

EU Companies
Adevinta
Beonex
Blockchain.com
Cafeyn
Deezer
Epic Games
iconomy
Mustang
Paddle
Parula
Proton
Schibsted
37signals
SkyDemon
Spotify
Threema
Uptodown
Vipps MobilePay

EU Associations
Alliance Digitale
Association Européenne des Radios (AER)
Classifieds Marketplaces Europe (CME)
Digital Content Next (DCN)
Digital Music Europe (DME)
European DIGITAL SME Alliance
European Games Developer Federation (EGDF)
European Fintech Association (EFA)
European Magazine Media Association (EMMA)
European Newspaper Publishers’ Association (ENPA)
European Publishers Council (EPC)
France Digitale
Internet Economy Foundation (IEF)
News Media Europe (NME)
Sveriges Tidskrifter
Tidningsutgivarna

Apple’s Proposed Changes Reject the Goals of the DMA

For almost five years – 1,782 days – we have been asking the European Commission to take action against Apple. In a world that values competition and innovation, we found it unacceptable to stand by and allow gatekeepers like Apple to go unchecked.

So you can imagine our excitement when the Digital Markets Act (DMA) was created and passed into law to once and for all put an end to this unfair stifling of innovation disguised by Apple as security protections. We were proud of Europe for leading the way and assumed that Apple would have no choice but to comply with the letter and the spirit of the law. 

But as Apple has just shown the world, they don’t think the rules apply to them. 

Apple is nothing if not consistent. While they have behaved badly for years, this takes the level of arrogance to an entirely new place. Under the false pretense of compliance and concessions, they put forward a new plan that is a complete and total farce. Essentially, the old tax was rendered unacceptable under the DMA, so they created a new one masquerading as compliance with the law.

From the beginning, Apple has been clear that they didn’t like the idea of abiding by the DMA. So they’ve formulated an undesirable alternative to the status quo. This is why many of the most popular developers will never be able to choose it. And for the developers who feel like they have no other alternative, it’s a path that will punish their success. Let’s explore a few elements of Apple’s new demands:

  1. A completely new 0.50 cent Euro fee per download, every year, in perpetuity, to Apple for just allowing developers to exist on iOS – This is extortion, plain and simple. If Apple’s already charging a commission of 17% (and 10% for recurring payments) on digital goods purchased, why would they also need to charge an annual flat fee for every user? For any developer wondering if this might work for you, you need to have less than a million customers and essentially sign up for not growing in the long run. From our read of Apple’s proposal, a developer would have to pay this fee even if a user downloaded the app, never used it and forgot to delete it. This will hurt developers, potential start-ups and those offering free apps most: How will a developer pay Apple back if its free app goes viral – multiple millions of accounts install that free app, and then that developer owes Apple millions? And this would be just the beginning, because Apple changes its rules all the time. There’s nothing in the law prohibiting Apple from increasing that 0.50 cent Euro to 1 or 10 Euro over time.  
  2. Apple is still charging a 17% rent on developers for existing in the App Store if they offer alternative payment methods or link out to their own website– Apple is making a developer’s choice between the status quo and this new program as difficult as possible. Apple is now saying, ‘sure, we’ll let you link out or offer your own payment methods… but you still owe us a commission for even doing that (plus that new flat 0.50 cent Euro fee).’ This combination of fees means that, in most instances, if your app is popular, you would pay the same or even more to Apple than under the prior rules. Apple is making the DMA hurt even more for developers, throwing them an unworkable alternative that will stifle their businesses immediately.
  3. Apple is offering alternative app stores – but are they really? Spotify, like so many other developers, now faces an untenable situation. Under the new terms, if we stay in the App Store and want to offer our own in-app payment, we will pay a 17% commission and a 0.50 cent Euro Core Technology Fee per install and year. This equates for us to being the same or worse as under the old rules. And if we managed to remove our app from the App Store and only existed in the Alternative App Store, that would still not work. With our EU Apple install base in the 100 million user range, this new tax on downloads and updates could skyrocket our customer acquisition costs, potentially increasing them tenfold. This, as we have to pay on every install or update to our free or paid app, even for those who no longer use the service.

The only conclusion is: Apple is forcing developers to stay with the status quo – This alternative that offers no alternative at all completely negates the goal of the DMA. The European Commission designated Apple as a gatekeeper because of their excessive fees and anti-competitive terms. Apple has proposed an unworkable alternative that developers would have to be locked into until the end of their businesses. Essentially, Apple is rendering the DMA’s goals of offering more choice and more control to consumers useless.

In the hours since Apple dropped this update, developers have frantically plugged in their businesses’ numbers into Apple’s online ‘fee calculator’ only to see their worst fears confirmed. Apple has the control and they are confident that the European Commission will let them keep it. 

Earlier this week, thanks to the clear language in the DMA, we shared how we plan to offer customers in the EU more choice, more control and better experiences. Today, that future is less clear. And it comes down to a fundamental question: Will the European Commission follow through with its intent to right-size Apple’s abuse of power? Or will the DMA be nice in theory, but in practice, have no substantive meaning for most developers?

All that is required is enforcing the very law many worked so hard to accomplish. The ball is in your court, European Commissioners, and once and for all you must reject this blatant disregard of the very principles you worked so hard to establish.

The DMA Means a Better Spotify for Artists, Creators, and You

What’s one of the top complaints about Spotify? It’s actually something that until now has been outside of our control: the ability to seamlessly subscribe to and buy things through Spotify on your iPhone. Consumers have asked us for years about the dead ends, lack of information, and endless hoops to jump through just to purchase a subscription or audiobook. But beginning March 7, if you live in the European Union, that will change. With the Digital Markets Act (DMA) rolling out, your Spotify is about to become a whole lot better, and that means more opportunities for developers and creators everywhere. 

For years, even in our own app, Apple had these rules where we couldn’t tell you about offers, how much something costs, or even where or how to buy it. We know, pretty nuts. The DMA means that we’ll finally be able to share details about deals, promotions, and better-value payment options in the EU. And an easier experience for you means good things for artists, authors, and creators looking to build their audiences of listeners, concert-goers, and audiobook-loving fans. What’s more? All of this can now come without the burden of a mandatory ~30% tax imposed by Apple, which is prohibited under the DMA. 

For Spotify, this unleashes huge opportunities, so here’s what you can expect us to roll out starting in March:

Direct communications in the Spotify app about subscription offerings, upgrades, product prices, deals, and promotions

We’ll soon be able to give you information in the Spotify app about prices for things like Premium subscriptions and audiobooks.

And we will be able to communicate clearly with you in the Spotify app about new products for sale, promotional campaigns, superfan clubs, and upcoming events, including when items like audiobooks are going on sale.

Seamless and secure in-app payment 

Soon we expect that if you want to buy a Premium subscription or an audiobook, or are looking to seamlessly upgrade from Individual to a Duo or Family plan to save money, you will be able to do so with just a couple of easy clicks.

Right now you can’t upgrade from Free to Premium in the app, and we’re not even allowed to tell you about how much our various subscriptions cost, how you can save money, or where to purchase them. That doesn’t make sense. For everyone living in the EU, this is about to change.

Purchasing an audiobook directly

You will have choices. In the growing list of markets where we offer audiobooks, for the first time you will be able to see the price of an audiobook when browsing, easily buy it, and quickly start listening. 

Downloading other Spotify apps onto your iPhone

Thanks to the DMA we’re looking forward to a future of superfan clubs, alternative app stores, and giving creators the ability to safely download Spotify for Artists or Spotify for Podcasters directly from our site—and that’s just the start. 

The fight continues

It should be this easy for every single Spotify customer everywhere. But if you live outside certain markets, you will continue to encounter frustrating roadblocks because of Apple’s ridiculous rules.

That’s why developers everywhere are continuing to ask other governments to pass their own laws like the DMA. Like Spotify, they want to provide the best user experience for their customers. We’ll keep fighting because freedom from gatekeepers means more choice for consumers and positive impact for artists, authors, creators and developers everywhere. 

 

European Commission: Apple’s Abuses Harm Consumers

The European Commission has once again made it abundantly clear that consumers are the ultimate victims of Apple’s abusive and anticompetitive behavior—and putting a stop to it is a top priority.

Apple’s anti-steering rules, which prohibit Spotify and other developers from telling consumers about deals or promotions through their own apps, mean that users are deprived of opportunities to save money and enjoy a higher quality service. That directly harms consumers.

With each passing day, Apple continues to choke competition and smother innovation. The European Commission today is sending a clear message that Apple must play fair and let competition work. Momentum is on the side of consumers but they deserve final resolution—and soon.

Read Spotify’s Joint Letter with European Companies Calling for Meaningful Regulatory Action Against Apple

Apple’s anti-competitive behavior harms hard-working consumers and developers—and the longer we wait, the harder it will become to stop them. Today, Spotify and seven other companies and organizations in sectors including publishing, audio streaming, dating, communications, and marketplaces sent a joint letter to call for meaningful regulatory action against Apple’s long-standing anti-competitive practices in Europe. 

Almost four years ago, Spotify filed a formal antitrust complaint with the European Commission because Apple’s anti-competitive behavior was stifling innovation and harming developers and consumers across Europe and around the world. Since then, little has changed. Apple has been enabled by the lack of decisive action by regulators, who continue to move hesitantly, even in the face of a groundswell of support. 

The clock is ticking. It’s time for regulators to address the ever-growing chorus of complaints against Apple, a critical step in stopping Apple’s continued abuses of its powerful platform. 

Read the letter here and learn more at TimeToPlayFair.com.

2022 Saw Even More Advancements, Acquisitions, and Excitement at Spotify

Earlier this month, we all had a chance to revisit what we listened to most in 2022 with Wrapped. From the year’s top artist (congrats on the three-peat, Bad Bunny) to identifying our listening personalities (where the “Deep Divers” at?), fans worldwide shared their listening habits. But that’s only the icing on the cake. The year also saw new content offerings such as audiobooks and more programs to support diverse and underrepresented voices, all designed to bring the best experience to listeners and creators.

Ring in 2023 by reliving Spotify’s highlights from 2022.

Commitment to platform safety

At the start of the year, we shared several actions we’re taking to balance creator expression with safety, including publishing our Platform Rules and taking steps to ensure creators and users alike understand what’s permitted on Spotify. This summer, we unveiled the Spotify Safety Advisory Council, an interdisciplinary group of experts that are providing our teams with an outside-in view of the safety landscape and helping us ensure that our products and policies address the needs and concerns of our users, creators, and artists around the world.  

Acquisitions expand our offerings

Early in the year, we acquired two podcast technology companies: Podsights, a podcast advertising measurement service, and Chartable, a podcast analytics platform. This move helped us uplevel measurement for podcast advertising and give publishers a new way to grow their business through insights and promotions tools.  

Over the summer, we closed on the acquisition of Findaway, a global leader in digital audiobook distribution. Findaway works across the audiobook ecosystem with a platform and offerings that serve authors, publishers, and consumers. Their technology and know-how helped accelerate Spotify’s entry into audiobooks earlier this fall.

As the world’s leading audio streaming platform, it made perfect sense to bring Heardle, the beloved interactive music game to Spotify. It has provided a fun and innovative way to help fans discover new songs and artists.

We also acquired Kinzen, a global leader in protecting online communities from harmful content. Our partnership with the Dublin-based company, which began in 2020, has been critical to enhancing our approach to platform safety. The company’s technology and unique approach helps Spotify better understand, prepare for, and prevent abuse trends from emerging on our platform.

Frequency carves out a spot for Black creators

We expanded Frequency, our global initiative and holistic destination for celebrating Black art, entertainment, creativity, culture, and community both on- and off-platform, with even more opportunities for Black creators. In addition to on-platform hubs and playlists, we hosted The Free Studio, a four-day residency that brought together nine Black musicians and creators. Spotify’s popular playlist Ripple Effect continued the Frequency Sunday Dinner series in Houston, as well as cities across California

Helping diversify the voices of podcasting

Programs like Sound Up, the Creator Equity Fund, and RADAR for Podcasters help underrepresented voices and emerging talent in the audio space. From education and workshops to on-platform amplification, these initiatives give creators the tools they need to tell their story. In October, we introduced the Africa Podcast Fund, a first-of-its-kind initiative to support burgeoning podcasters through financial grants, workshops, and networking opportunities. In December, we launched Elevate for Podcasters in partnership with the Inevitable Foundation. The program empowers professional podcasters with disabilities, providing the funding, mentorship, equipment, and accommodations they need to level up their careers. 

Introducing User Choice Billing with Google

Our multi-year agreement with Google represents a first-of-its-kind option in payment choice with opportunities for both consumers and developers. Users who’ve downloaded Spotify from the Google Play Store are presented with the choice to pay with either Spotify’s payment system or Google Play Billing. These two options living side-by-side in the app give users the freedom to subscribe and make purchases, using the payment option of their choice. With this announcement and our partnership, Google is allowing more choice and competition—decisive steps that demonstrate how platforms should work.  

Blend it up

Blend combines the best of Spotify’s personalization capabilities and collaborative playlist functionality into a single shared playlist. In 2022, we took Blend to a whole new level. Users can now Blend with up to 10 people or they can Blend with artists like Lizzo, Post Malone, and Charli XCX. Fans also have the opportunity to shop artist merch from the Blend experience. Blend represents another way we can give artists a new oportunity to interact with fans, and to bring added personalization to a listener’s music experience.

Playing with video

In 2022 we expanded video podcasting to Anchor creators in over 180 global markets. Podcasters love having the option to accompany their audio with visual components, and fans get the opportunity to deeply connect with the content. We also introduced Spotify Podcast Subscriptions for video podcasts, an integration with Riverside (the go-to platform for remote recording), embeddable video, video bulk-replace, video-specific analytics, and interactive podcast features, such as polls and Q&A.

Celebrating EQUAL’s first anniversary 

Since its launch, EQUAL has spotlighted women artists through global partnerships, activations, new content experiences, and on- and off-platform support. April marked the program’s one year anniversary. Among EQUAL’s major accomplishments: listeners streamed more than 13 million hours of program artists in the first month of joining. 

Reimagining with Roblox

We entered the virtual universe Roblox to create Spotify Island, an audio paradise where fans and artists from all over the world can connect and explore exclusive sounds, quests, and merch. We enhanced the experience during the year with K-Park and Planet Hip-Hop.

Spotify and FC Barcelona team up on the field

In July, we kicked off a partnership with FC Barcelona, becoming the Main Partner of the Club as well as the Official Audio Streaming Partner. We joined the team in Miami during the club’s preseason tour and brought artists like Ovy on the Drums, Piso 21, and Mau y Ricky along for the fun. Through the in-stadium LEDs and our other marketing channels, we promoted artists of all sizes from around the world including BLACKPINK, Fireboy DML, Megan Thee Stallion, Aitch, Pomme, Feid, and Rigoberta Bandini. For FC Barcelona’s October El Clásico showdown—one of the most iconic events in all of sport—we celebrated Drake’s 50 billion streams by creating a limited-edition kit. Get more details on this multiyear partnership on our Spotify: For the Record podcast.

Upping the ante with audiobooks

This fall, we introduced audiobooks to listeners in the U.S., the UK, Ireland, Australia, and New Zealand. With more than 300,000 titles on the platform, we are giving book lovers a new way to enjoy storytelling on Spotify.

Time to play fair

We believe everyone benefits when competition is fair. Unfortunately, Apple does not, and they’ve consistently abused their dominant position to favor their own services, stifle innovation and hurt consumers. This year, we continued to urge policymakers to take significant action to protect competition and consumers from Apple’s anticompetitive behavior. For more on this fight, listen to  Spotify: For the Record, where entrepreneurs, U.S. senators, and Spotify CEO Daniel Ek discuss the importance of consumer choice.

US Senators, Tech CEOs, and More Make Their Voices Heard in Our Fight for Fair Competition on the Latest ‘For the Record’ Podcast

Over the past few years, it’s become abundantly clear that Apple tilts the playing field. It does this in favor of its own services in order to disadvantage rivals and make it harder for companies like Spotifyand so many othersto compete. This behavior harms consumers and app developers—and it stifles innovation from companies just trying to get off the ground.

This is about much more than just Spotify, which is why we have publicly advocated for platform fairness and pushed for expanded payment options, among other things, for a number of years. We are committed to fighting for fair competition, which, in turn, will unleash innovation as well as choice for consumers.

Today, we released a special episode of Spotify: For the Record featuring a chorus of voices who are as passionately focused as we are on creating a level playing field for all. Tune in to hear from our CEO, Daniel Ek; U.S. Senators Amy Klobuchar (D-Minnesota), Marsha Blackburn (R-Tennessee), and Richard Blumenthal (D-Connecticut); Agrin Health CEO Karen Thomas; Fanfix CEO Harry Gestetner; Schibsted CEO Kristin Skogen Lund; and ProtonMail CEO Andy Yen as they express their concerns about the impact of Apple’s unfair App Store rules on consumers and innovators alike and discuss the need for action.

Take a glimpse at what each of them had to say. 

“Our view is quite simple. We think that there needs to be regulation in this space. We think it is one where it has to make it clear that you as a developer or a company should be able to interact with your consumers. You should have the ability to bring new innovations to the market on equal terms as the platforms themselves, and that there should be a choice for how these consumers should be able to pay for goods and services on these platforms. And that can’t be dictated by Apple.” – Daniel Ek, CEO, Spotify

“The news that Apple plans to let rival app stores operate on iPhones in Europe shows that the arguments against our bill were simply scare tactics designed to stop it, and that’s why we must pass it.” – U.S. Senator Amy Klobuchar

“At the end of the day, what I would ask Tim Cook is to please support my bill. If you’re not doing any of these bad things, why not support the bill? If you’re in favor of competition and innovation, support the bill. If you believe that there’s no unfair charges, or rents, or whatever—no copy and kill. Support the bill.” – U.S. Senator Richard Blumenthal  

“It doesn’t matter if you’re Democrat, or Republican, or another party affiliation, app developers and innovators are saying we have an issue with market access and there is a way to solve this problem.” – U.S. Senator Marsha Blackburn  

“I think we have to re-envision what an app store is and the boundaries and the barriers that they put up in terms of gatekeepers . . . Status quo isn’t even an option anymore. We’re at a fork in the road. So either we pass this legislation and we send a signal to Apple and Google to say that monopoly won’t work—you’re going to have to behave better and participate in a free market—or we don’t.” – Karen Thomas, CEO, Agrin Health 

“I do think the majority of Gen Z is probably pretty unaware, but it’s going to take things like this and small businesses speaking out, creators speaking out, waking consumers up to the fact that this is going on and this is impacting their daily lives.” – Harry Gestetner, co-CEO, Fanfix 

“Probably almost the worst issue is that Apple blocks us from having access to data about our own customers. So that means we don’t know what kind of subscriptions our customers have bought via the Apple system. It means that we will either lose our business altogether or we will have very unhappy customers.” – Kristin Skogen Lund, CEO, Schibsted 

“The lack of people speaking up isn’t because there is no problem. The lack of people speaking up is actually a sign of the problem because people are so afraid that they’re just afraid to even say anything. And if that is the state of the Internet today, then I think that’s a terrible place for the world to be.” – Andy Yen, CEO, ProtonMail

And they’re all coming together with more than any single company at stake: “I’m fighting not because of just Spotify, but because I truly, at the core of my being, believe this is right,” Daniel Ek noted in the episode. “And it’s very important for the future of the economy and for app developers and creators alike.” 

We know that fair and open platforms enable better consumer experiences and allow developers to grow and thrive. When this happens, everybody wins.

Hear for yourself in the episode below. 

Access the full episode transcript here

Apple’s Anti-Competitive Behavior Hurts Everyone—Including Audiobook Listeners, Publishers, and Authors

We believe consumers win when competition is not only promised, but guaranteed. Consumers and creators benefit when they can more easily connect and enjoy the latest and greatest innovations without hurdles. Apple continues to stand in the way of Spotify’s and other developers’ abilities to provide a seamless user experience, and its restrictions hurt both creators and consumers alike. 

Spotify’s recent launch of Audiobooks in the U.S. is the perfect example of just how far Apple will go to disadvantage competitors. The Audiobooks purchase flow that Apple’s rules force us to provide consumers today is far too complicated and confusing — confusing because they change the rules arbitrarily, making them impossible to interpret. Bottom line, we’re forced to make users work even harder to listen to an audiobook. This harms not only consumers, but, this time, also authors and publishers who now find themselves under Apple’s thumb. We believe there is huge potential to grow the audiobooks market and get more authors heard by new listeners—but the purchase flow we’ve been forced into is artificially limiting that growth. 

And while the challenges we’re facing with Audiobooks are serious, this is just one example across multiple years that shows how Apple is trying to control the entire internet ecosystem. Here’s what our CEO, Daniel Ek, had to say: 

“Almost four years. That’s how long it’s been since Spotify filed a complaint against Apple with the European Commission, and we are still waiting on a decision. And while we wait, Apple continues to dictate what online innovation looks like, doing serious harm to the internet economy, choking competition and the imagination of app developers. In the absence of government intervention—in Europe, the U.S., or any other market around the world—Apple has shown time and again that it will not self-regulate and has no real incentive to change. With our Audiobooks launch, Apple has once again proven just how brazen it is willing to be with its App Store rules, constantly shifting the goalposts to disadvantage their competitors.” 

Importantly, this issue has implications that are far reaching and go well beyond Spotify, as outlined in a recent New York Times article. It’s about the companies just getting off the ground, the ones fighting for a shot, the ones that are still an idea in some young person’s mind. And because Apple continues to give itself unfair advantages at every turn, key decision makers have no choice but to act swiftly and boldly to end their anti-competitive behavior.

Learn more on Time to Play Fair, our site about fair competition in the world of audio streaming.

It’s Time To Act. The Internet Economy Depends on It

Spotify CEO Daniel Ek Speaking at an event in Brussels

In March 2019, Spotify took the bold step of filing a complaint against Apple with the European Commission for anti-competitive behavior and abuse of dominance in the music streaming market. For years, Apple has consistently tilted the playing field in favor of its own services to disadvantage rivals, stifle innovation, and make it harder for companies like Spotify to compete. 

But it’s not just Spotify who’s impacted.

Nearly every consumer now owns a smartphone and uses it as their primary means of accessing services on the internet, which means everyone is impacted, putting the internet economy at risk. 

Fast-forward to today, and the European Commission, while having built its own strong case against Apple over the last few years, still hasn’t brought the case to conclusion. This is especially problematic as we’ve seen Apple seek to circumvent or outright defy regulations in other markets around the world in order to evade meaningful changes to their behavior.  

This is why Spotify CEO Daniel Ek—joined by Global Head of Public Affairs Dustee Jenkins, General Counsel Eve Konstan, and others from our team—traveled to Brussels, the seat of the Commission, for a full day of meetings and events earlier this month. This included time with key Commissioners to ask that they deliver a robust decision against Apple as soon as possible, because the internet moves fast, and every day that passes without any action erodes companies’ ability to innovate on behalf of consumers—not just in Europe, but around the world. Remedies must be levied to drive impact. Otherwise, Apple will have no real incentive to change. 

But the Apple case wasn’t the only issue on our agenda. We shared our thoughts around the remarkable work the Commission has done to advance Europe’s digital economy, and the leadership role it has taken with the recent landmark tech regulations of the Digital Markets Act (DMA) and Digital Services Act (DSA). While we applaud these efforts, we don’t see the DMA specifically as a substitute to the case we filed in 2019. Instead, we view it as a much-needed complement and believe that a decision on our case is still key to ensuring significant and lasting change. 

We also spent time with students at Vlerick Business School, where Daniel discussed leadership, the importance of healthy debate, the challenges of continuous innovation, and Spotify’s relentless focus on speed and building culture and resiliency. He also talked about his desire to unleash Europe’s entrepreneurial potential and the role of business in driving meaningful solutions to some of society’s biggest issues. And realizing this is only possible when there is a level playing field. 

The day concluded with a Spotify-hosted reception that featured a fireside chat with Daniel moderated by renowned Brussels-based commentator Shada Islam and a musical performance by award-winning Belgian singer-songwriter and RADAR artist Meskerem Mees. During the conversation, Daniel reaffirmed just how critical it is to keep fair competition at the top of the Commission’s agenda, given the billions of developers and consumers who are at the mercy of gatekeeper platforms like Apple. 

Fair and open platforms enable better consumer experiences and allow developers to innovate, grow, and thrive. Spotify believes we have a duty to ensure that we’re helping to pave pathways to success for start-ups out there just looking for a shot. So we’ll continue to engage on these topics and advocate for an ecosystem in which fair competition is not only encouraged, but guaranteed. 

To learn more, please visit TimeToPlayFair.com