The standoff between Apple and Spotify reaches new heights

Apple and Spotify have been clashing over App Store rules and commissions charged by the Apple firm for several years now. This conflict has taken on a new dimension in recent months with the entry into force of the Digital Markets Act (DMA) in Europe.

Reminder of the facts

As a reminder,Spotify has long challenged the App Store model, which requires developers to pay a 30% commission on purchases and subscriptions in App Store apps. Spotify believes that this is an anti-competitive practice, which harms innovation and unfairly penalizes developers. Indeed,CEO Daniel Ek would like to get this 30% back.

For its part, Apple has always defended itself regarding this commission, arguing that it is necessary to maintain the quality and security of the App Store ecosystem. The company also highlights the many benefits developers enjoy in terms of visibility and tools.

The adoption ofDMAby the European Union in March 2024 has howeverreshuffled the cards. This new regulation aims to rebalance the balance of power between digital giants like Apple and developers.In particular, it requires platforms to authorize alternative payments and links to external websites.

It is in this context that Apple finally agreed, under pressure, to allow developers to offer subscription options outside of the App Store. But this openness is not without compensation: Apple still takes 27% from these external transactions, in addition to management fees. Enough to make Spotify jump, which denouncesa maneuver intended to circumvent the spirit of the DMA.

Spotify (finally) benefits from the DMA

Indeed, Spotify had to be patient after the DMA came into force. The Swedish company requested to benefit from aright to streaming servicesmusical fromavril 2024,but came up against arefus initial d’Apple.We had to wait four more months for Apple to finally give the green light.

Thanks to this right,Spotify can now inform its European userspricing options available outside the App Store directly in its iPhone application. Consumers will thus see the prices and the possibility of subscribing on the Spotify site, a practice previously prohibited.

But for Spotify, this victory has a bitter taste. The Swedish firm denounces the new conditions imposed by Apple, seeing it as a new attempt tocircumvent the spirit of the DMA.The battle is therefore far from over, as the visions of the two giants on the future of the digital economy diverge.