Spotify criticizes Apple’s compliance with EU regulation as a ‘farce’, says report
(Reuters) – Spotify said on Friday that Apple’s new plan to comply with the European Union’s Digital Markets Act (DMA) is a “complete and utter farce”.
Starting in early March, developers will be able to offer alternative app stores for iPhones and opt out of Apple’s in-app payment system, which charges up to 30 percent fees under the bloc’s new rules.
However, under Apple’s new EU system, developers still have to pay a “core technology fee” of 50 cents per user account per year.
“Apple has been clear from the beginning that they didn’t like the idea of complying with DMA. So they’ve crafted an unwelcome alternative to the status quo,” the music streaming giant said Friday.
Spotify said it will have to pay a 17 percent fee if it stays on the App Store and offers its own in-app payment under the new terms.
“Any developer can choose to stay on the same terms as they are today. And under the new terms, more than 99% of developers would pay Apple the same or less,” Apple said in an emailed statement to Reuters.
Apple will face strong action if changes to its App Store do not meet future regulations, the bloc’s industry director told Reuters on Friday.
