applemusiciphoneGovernment officials in New York and Connecticut are investigating the deals Apple and major record companies established for Apple Music to determine whether there were any antitrust violations, reports The New York Times. Eric T. Schneiderman and George Jepsen, attorneys general in the two states, are suspicious Apple tried to convince record labels to abandon free, ad-supported music services like those offered by Spotify and YouTube.

The attorneys general wanted to know whether Apple pressured the music labels -- or whether the labels conspired with Apple and one another -- to withdraw support for popular "freemium" services offered by companies like Spotify in favor of Apple's paid music subscriptions.

Spotify offers a freemium ad-supported music tier that lets listeners access music at no cost, provided they also listen to ads. Apple Music does not include a free tier for on-demand listening like Spotify, instead requiring all users to pay $9.99 per month for an individual plan or $14.99 per month for a family plan. Apple does, however, offer a separate radio service that can be accessed for free.

There have been rumors suggesting Apple asked record labels to discontinue allowing services like Spotify to offer music at no cost, which has led to scrutiny from the European Commission, the United States Department of Justice, and the United States Federal Trade Commission. Apple Music would, of course, be a much more appealing option should other services not be able to offer music for free, but it remains unclear whether Apple executives did indeed push labels to change their deals.

According to The New York Times, Universal Music Group is cooperating with the investigation and has told the attorneys general via letter that it has no agreements with Apple or other record labels that "impede the availability of free or ad-supported music streaming services" and it has no intention to enter any such agreements. UMG has also provided MacRumors with the following statement:

"UMG shares the Attorneys General's commitment to a robust and competitive market for music streaming services in the mutual best interest of consumers, artists, services and content companies alike – and we have a long track record to that effect. We are pleased to have provided the Attorneys General information demonstrating that conduct. It is our understanding that, given these representations, the Attorneys General have no present intention to make further inquiries of UMG in this regard."

In a statement, Connecticut attorney general George Jepsen said he was satisfied with the response he received from UMG. "We will continue to monitor that market to ensure that consumers and competition are protected," he said. Schneiderman's office made a similar statement, saying "It’s important to ensure that the market continues to develop free from collusion and other anticompetitive practices."

Jepsen and Schneiderman have been involved in Apple's affairs several times in the past. Jepsen led a lawsuit against Apple during the e-book price fixing scandal and has questioned Apple about Apple Watch privacy concerns. Schneiderman has been involved with smartphone anti-theft measures and was one of the main proponents of a "kill switch" for smartphones.

Apple Music debuted yesterday at Apple's Worldwide Developers Conference. It will launch to the public on June 30 alongside iOS 8.4.

Update 6:42 PM PT: This article has been updated to include an official statement from Universal Music Group.

Note: Due to the political nature of the discussion regarding this topic, the discussion thread is located in our Politics, Religion, Social Issues forum. All forum members and site visitors are welcome to read and follow the thread, but posting is limited to forum members with at least 100 posts.

Top Rated Comments

horsebattery Avatar
115 months ago
Heeere we go. Evil jerks. Get a real job losers. I can't believe I'm forced to pay one of these moron governments at gunpoint, so they can pull crap like this.
Leave it to the justice department to find a cloud in even the shiniest of silver linings.
Your gov't at work. Keep voting these clowns in office and they will totally control your existence.
Really? Really? Good grief people, why do you think the government exists? Did you all get hit with the stupid stick and forget what happened in the past?

There are so many players in this music space. This doesn't make sense. Are they going to investigate Taylor Swift too? She pulled her music from Spotify. She thinks artists should be compensated better for their art/product. She and Apple must be conspiring!
This is comparing apples to unicorn feces. When Taylor Swift can somehow gain enough momentum to potentially violate anti-trust laws, then you have a valid complaint.
Score: 15 Votes (Like | Disagree)
Z400Racer37 Avatar
115 months ago
Heeere we go. Evil jerks. Get a real job losers. I can't believe I'm forced to pay one of these moron governments at gunpoint, so they can pull crap like this.
Score: 12 Votes (Like | Disagree)
nostaws Avatar
115 months ago
There are so many players in this music space. This doesn't make sense. Are they going to investigate Taylor Swift too? She pulled her music from Spotify. She thinks artists should be compensated better for their art/product. She and Apple must be conspiring!
Score: 12 Votes (Like | Disagree)
Dargoth Avatar
115 months ago
Really? Really? Good grief people, why do you think the government exists? Did you all get hit with the stupid stick and forget what happened in the past?
The government exists to keep people safe, true. The problem is, they try to do more than they are qualified to do these days. They regulate markets they know nothing about, and they end up creating an environment that only favors big business, and leaves the smaller ones without a chance at competition. How could you be for this?
Score: 12 Votes (Like | Disagree)
Dargoth Avatar
115 months ago
Leave it to the justice department to find a cloud in even the shiniest of silver linings.
Score: 8 Votes (Like | Disagree)
Mackinjosh Avatar
115 months ago
Holy crap at the fanboys taking issue with this as if Apple doesn't have a history of shady behavior. Stop crying, super fans, if Apple is innocent, they'll be fine.
Score: 7 Votes (Like | Disagree)

Popular Stories

reset password request iphone

Warning: Apple Users Targeted in Phishing Attack Involving Rapid Password Reset Requests

Tuesday March 26, 2024 4:34 pm PDT by
Phishing attacks taking advantage of Apple's password reset feature have become increasingly common, according to a report from KrebsOnSecurity. Multiple Apple users have been targeted in an attack that bombards them with an endless stream of notifications or multi-factor authentication (MFA) messages in an attempt to cause panic so they'll respond favorably to social engineering. An...
Generic iOS 18 Feature Purple

iOS 18: What to Expect From 'Biggest' Update in iPhone's History

Wednesday March 27, 2024 11:10 am PDT by
At least some Apple software engineers continue to believe that iOS 18 will be the "biggest" update in the iPhone's history, according to Bloomberg's Mark Gurman. Below, we recap rumored features and changes for the iPhone. "The iOS 18 update is expected to be the most ambitious overhaul of the iPhone's software in its history, according to people working on the upgrade," wrote Gurman, in a r...
maxresdefault

Apple to Launch New iPad Pro and iPad Air Models in May

Thursday March 28, 2024 11:07 am PDT by
Apple will introduce new iPad Pro and iPad Air models in early May, according to Bloomberg's Mark Gurman. Gurman previously suggested the new iPads would come out in March, and then April, but the timeline has been pushed back once again. Subscribe to the MacRumors YouTube channel for more videos. Apple is working on updates to both the iPad Pro and iPad Air models. The iPad Pro models will...
maxresdefault

Apple Announces WWDC 2024 Event for June 10 to 14

Tuesday March 26, 2024 10:02 am PDT by
Apple today announced that its 35th annual Worldwide Developers Conference is set to take place from Monday, June 10 to Friday, June 14. As with WWDC events since 2020, WWDC 2024 will be an online event that is open to all developers at no cost. Subscribe to the MacRumors YouTube channel for more videos. WWDC 2024 will include online sessions and labs so that developers can learn about new...
apple maps 3d feature

Apple Maps May Gain Custom Routes With iOS 18

Tuesday March 26, 2024 3:10 pm PDT by
Apple may be planning to add support for "custom routes" in Apple Maps in iOS 18, according to code reviewed by MacRumors. Apple Maps does not currently offer a way to input self-selected routes, with Maps users limited to Apple's pre-selected options, but that may change in iOS 18. Apple has pushed an iOS 18 file to its maps backend labeled "CustomRouteCreation." While not much is revealed...
General iOS 17 Feature Orange Purple

Apple Releases Revised Versions of iOS 17.4.1 and iPadOS 17.4.1 With Updated Build Number

Wednesday March 27, 2024 5:59 am PDT by
Apple on late Tuesday released revised versions of iOS 17.4.1 and iPadOS 17.4.1 with an updated build number of 21E237, according to MacRumors contributor Aaron Perris. The updates previously had a build number of 21E236. The revised updates are available for all iPhone and iPad models that are compatible with iOS 17 and iPadOS 17, but they can only be installed via the Finder app on macOS...
applephilschiller

Apple's Phil Schiller Works 80 Hours a Week Overseeing App Store

Wednesday March 27, 2024 2:03 pm PDT by
With the App Store and app ecosystem undergoing major changes in the European Union, The Wall Street Journal today shared a profile on App Store chief Phil Schiller, who is responsible for the App Store. Though Schiller transitioned from marketing chief to "Apple Fellow" in 2020 to take a step back from Apple and spend more time on personal projects and friends, he is reportedly working...