Apple hit with over 1.8 billion euro EU antitrust fine in Spotify case | Tech News

Apple hit with over 1.8 billion euro EU antitrust fine in Spotify case

Apple has been fined by the EU for antitrust violation, preventing music streaming services like Spotify from offering payment options outside App Store.

By:REUTERS
| Updated on: Mar 04 2024, 17:58 IST
In peak Bengaluru moment, man sporting Apple Vision Pro negotiates streets; draws hilarious reactions on X
Apple
1/5 The recently-launched Apple Vision Pro headset has been creating a lot of hype among the youth and it is grabbing much attention. After a number of incidents turned viral, including some of people taking the headset for a drive in a car and another allegedly taking it to a plane, yet another incident has come to light, albeit not as shocking as these previous ones. In a "peak Bengaluru" moment, a techie (if it is Bengaluru, it had to be a techie) named Varun Mayya was seen wearing Apple Vision Pro headset on the streets. The video elicited quite a few reactions on X and most focussed on how the new generation will turn into “VR Zombies” in the country.  (Ayush Pranav/ X)
Apple
2/5 The highly talked about Vision Pro headset has now hit the streets of India and people have much to say about the technology.  The post that started it all said, “bumped into @waitin4agi_  while he was playing around with his vision pro on the streets of indiranagar. gotta be a @peakbengaluru moment.” While some X users made fun of India’s traffic, others were extremely worked up about how it will affect the wearer's mind and body. (AFP)
Apple
3/5 An X user commented on the post saying, “Eye doctors better be prepared for what’s coming” and another user commented saying, “Dont try in Koramangala. Full of potholes.” With serious concern a user also said, “Vision Pro zombies have arrived in the streets of @peakbengaluru” (REUTERS)
Apple
4/5 Seeing the man wearing Vision Pro, a user also commented, “Forget man, if I see any such human at s public place ama sprinting away next second”. (AFP)
Apple
5/5 The Apple Vision Pro was launched recently in the US and, while users are praising the technology, there are many who showed concerns. However, note that the device has not been released for sale in India yet.  (REUTERS)
Apple
icon View all Images
The European Commission's decision was triggered by a 2019 complaint by Spotify over restrictions and Apple's 30% App Store fees. (REUTERS)

Apple was hit with an EU antitrust fine of over 1.8 billion euros ($1.95 billion) on Monday, its first ever, for preventing Spotify and other music streaming services from informing users of payment options outside its App Store.

The European Commission's decision was triggered by a 2019 complaint by Swedish music streaming service Spotify over this restriction and Apple's 30% App Store fees.

You may be interested in

MobilesTablets Laptops
5% OFF
Apple iPhone 15 Pro Max 512GB
  • Black Titanium
  • 8 GB RAM
  • 512 GB Storage
5% OFF
Apple iPhone 15 Pro
  • Black Titanium
  • 8 GB RAM
  • 128 GB Storage
6% OFF
Apple iPhone 15 256GB
  • Black
  • 6 GB RAM
  • 256 GB Storage
17% OFF
OPPO F25 Pro
  • Lava Red
  • 8 GB RAM
  • 128 GB Storage

The European Union competition enforcer said Apple's restrictions constituted unfair trading conditions, a relatively novel argument in an antitrust case and also used by the Dutch antitrust agency in a decision against Apple in 2021 in a case brought by dating app providers.

Also read
Looking for a smartphone? To check mobile finder click here.

The EU competition enforcer said it added an additional lump sum of 1.8 billion euros to the basic amount as a deterrent to Apple and because a significant part of the harm caused by Apple's conduct was non-monetary. It did not say what the basic amount was.

“For a decade, Apple abused its dominant position in the market for the distribution of music streaming apps through the App Store, " EU antitrust chief Margrethe Vestager said in a statement.

"They did so by restricting developers from informing consumers about alternative, cheaper music services available outside of the Apple ecosystem. This is illegal under EU antitrust rules," she said.

Apple criticised the EU decision, saying it would challenge it in court.

"The decision was reached despite the Commission's failure to uncover any credible evidence of consumer harm, and ignores the realities of a market that is thriving, competitive, and growing fast," the company said in a statement.

"The primary advocate for this decision — and the biggest beneficiary — is Spotify, a company based in Stockholm, Sweden. Spotify has the largest music streaming app in the world, and has met with the European Commission more than 65 times during this investigation," it said.

It said the Swedish company pays no commission to Apple as it sells its subscriptions on its website and not on Apple's App Store.

Vestager's order to Apple to remove its App Store restrictions echoes the same requirement under new EU tech rules known as the Digital Markets Act (DMA) which Apple has to comply with on March 7.

Apple's fine, however, is about a quarter of the 8.25 billion euro fines the EU regulator meted out to Alphabet's Google in three cases in the previous decade.

In contrast to the music streaming case, Apple is seeking to settle another EU antitrust investigation by offering to open up its tap-and-go mobile payment systems to rivals.

EU regulators, who subsequently sought feedback from rivals and users, will likely accept its offer without fining the company.

Also, read other top stories today:

Nothing Phone 2a launch soon! Carl Pei-led Nothing is set to launch its mid-range smartphone in India on March 5! Some interesting details in this article. Check it out here.

Motorola X50 Ultra launch teased! The company hints at its design and AI features and says the launch will happen soon. It is touted to rival the Samsung Galaxy S24. Know all about it here.

US vs China! The US is reevaluating data protection policies amid concerns about Chinese tech, with a focus on AI risks. Recent actions by President Biden aim to limit the flow of sensitive data abroad to prevent espionage and blackmail. Read all about it here

One more thing! We are now on WhatsApp Channels! Follow us there so you never miss any updates from the world of technology. ‎To follow the HT Tech channel on WhatsApp, click here to join now!

Catch all the Latest Tech News, Mobile News, Laptop News, Gaming news, Wearables News , How To News, also keep up with us on Whatsapp channel,Twitter, Facebook, Google News, and Instagram. For our latest videos, subscribe to our YouTube channel.

First Published Date: 04 Mar, 17:57 IST
Tags:
NEXT ARTICLE BEGINS