Apple Rips Spotify Complaint In Europe As "Misleading Rhetoric"

Apple says Spotify wants 'the benefits of a free app without being free'

Apple Inc on Thursday responded to Spotify Technology SA's complaint with European Union antitrust regulators, saying the audio streaming service "wants all the benefits of a free app without being free". It also criticizes Spotify for wanting to take advantage of the reach that the App Store makes possible, without wanting to give anything back.

Spotify also argued that when it tried to find a way around that revenue split, Apple treated it unfairly by preventing Siri integration with Spotify's service and blocking app updates.

Spotify, Apple contends, is demanding a completely different environment for its app. In the end, Spotify said that it wants all third-party apps to be following the same rules, asking why things like Uber rides aren't subject to the "Apple tax" but Spotify subscriptions are.

"Spotify wouldn't be the business they are today without the App Store ecosystem, but now they're leveraging their scale to avoid contributing to maintaining that ecosystem for the next generation of app entrepreneurs", Apple said in a press release.

"Spotify is free to build apps for - and compete on - our products and platforms, and we hope they do", it added.

We found Spotify's claims about Apple Watch especially surprising.

With regard to the 30 percent charge on in-app digital content in the App Store, Apple notes that 84 percent of apps pay nothing, including Spotify's own ad-supported app.

It went on to point out that the majority of Spotify's customers are either free users or those who signed up for Premium accounts through deals with their carrier (or though other promotions like the one with Hulu that was recently announced). "It added that only a "tiny fraction of their subscriptions fall under Apple's revenue-sharing model". In the decade since, the App Store has helped create many millions of jobs, generated more than $120 billion for developers and created new industries through businesses started and grown entirely in the App Store ecosystem.

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"We think that's wrong", it said.

The company expressed surprise about Spotify's Watch app claim, saying "we reviewed and approved it with the same process and speed with which we would any other app".

Apple has accused Spotify of "misleading rhetoric" in a response to an antitrust complaint made by the company earlier this week.

"This week's PR blitz from both Spotify and Apple has been unprecedented, and it's unlikely that today's statement will settle the matter", he said. A similar antitrust case about potential overreach in Apple's walled garden-Apple v.

Spotify was not immediately available to comment on Apple's response.

Just this week, Spotify sued music creators after a decision by the US Copyright Royalty Board required Spotify to increase its royalty payments.

Apple also slammed Spotify for aiming to "make more money off others' work", including that of "artists, musicians and songwriters". Spotify and Apple Music both now charge customers $9.99 per month for its premium subscription.

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