Spotify Puts Apple in Another Antitrust Battle in EU
(Reuters) – Apple is expected to face a ban from App Store rules governing certain music streaming services and a possible hefty fine from European Union regulators, Bloomberg News reported on Wednesday.
EU officials are finalizing a decision that would ban Apple’s practice of preventing music services from pushing their users away from the App Store to alternative subscription options, the report cited people familiar with the investigation.
The decision is due early next year, and Apple could be fined up to 10 percent of its annual sales, Bloomberg reported.
The investigation started with a complaint made almost four years ago by the Swedish company Spotify Technology, according to which it was forced to raise the prices of its monthly subscriptions to cover the costs related to Apple’s App Store rules.
The European Commission filed a complaint against Apple earlier this year, saying the terms are unnecessary and mean customers may have to pay more.
Apple did not immediately respond to Reuters’ request for comment. A spokesperson for the European Commission declined to comment.
Apple shares rose slightly in afternoon trade.