Apple's Beats brand in April unveiled the Powerbeats Pro, a redesigned wire-free version of its popular fitness-oriented Powerbeats earbuds.
European Regulators Concerned Apple's Proposed Shazam Acquisition Could Hurt Competitors Like Spotify
The European Commission today announced it has opened an in-depth investigation into Apple's proposed acquisition of Shazam.
The regulators are concerned that the merger could reduce choice for users of streaming music services in Europe. In particular, they believe that Apple could gain access to sensitive data that could allow Apple to directly target its competitors' customers and encourage them to switch to Apple Music.
While the European Commission did not name any specific services, Apple Music's biggest rival in Europe is Spotify, headquartered in Stockholm, Sweden. Other competitors include Deezer, Tidal, and Google Play Music.
European Commission competition chief Margrethe Vestager:
The regulators have set a September 4, 2018 deadline to reach a decision, delaying an Apple-Shazam merger for at least 90 days.
Apple announced its plans to acquire Shazam in December, describing the two companies as a "natural fit" with "exciting plans" ahead. In February, the European Commission received requests from Austria, France, Iceland, Italy, Norway, Spain, and Sweden to assess the deal under European merger law.
Shazam is a popular service that can identify the name and lyrics of songs, music videos, TV shows, and more. It has apps across iPhone, iPad, Apple Watch, iMessage, and Mac, while the service has been built into Siri since iOS 8.
The regulators are concerned that the merger could reduce choice for users of streaming music services in Europe. In particular, they believe that Apple could gain access to sensitive data that could allow Apple to directly target its competitors' customers and encourage them to switch to Apple Music.
While the European Commission did not name any specific services, Apple Music's biggest rival in Europe is Spotify, headquartered in Stockholm, Sweden. Other competitors include Deezer, Tidal, and Google Play Music.
European Commission competition chief Margrethe Vestager:
The way people listen to music has changed significantly in recent years, with more and more Europeans using music streaming services. Our investigation aims to ensure that music fans will continue to enjoy attractive music streaming offers and won't face less choice as a result of this proposed merger.In addition, the European Commission said it will investigate whether Apple Music's competitors would be harmed if Apple were to discontinue referrals from the Shazam app to them following the acquisition. Shazam's app currently integrates with multiple services, including Spotify and Deezer.
The regulators have set a September 4, 2018 deadline to reach a decision, delaying an Apple-Shazam merger for at least 90 days.
Apple announced its plans to acquire Shazam in December, describing the two companies as a "natural fit" with "exciting plans" ahead. In February, the European Commission received requests from Austria, France, Iceland, Italy, Norway, Spain, and Sweden to assess the deal under European merger law.
Shazam is a popular service that can identify the name and lyrics of songs, music videos, TV shows, and more. It has apps across iPhone, iPad, Apple Watch, iMessage, and Mac, while the service has been built into Siri since iOS 8.
Tags: European Commission, Shazam
[ 89 comments ]
Top Rated Comments
(View all)
18 months ago
So, Apple will have to promise to continue to allow Shazam to list other streaming services when it makes referrals. They'll probably agree to that. Now, if they could just force Apple to allow the Homepod to use other services.
They should have zero control over that. Apple manufactures and sells its Homepod and has a right to limit its streaming services to Apple Music only.
18 months ago
allow Apple to directly target its competitors' customers and encourage them to switch to Apple Music.
The horror! A company trying to convince users of a competing product to switch to its own! We cannot allow that!
18 months ago
So, Apple will have to promise to continue to allow Shazam to list other streaming services when it makes referrals. They'll probably agree to that. Now, if they could just force Apple to allow the Homepod to use other services.
Don’t understand how anyone is forcing Apple to do anything. If Spotify wants to make a Spotify speaker, are they going to be forced to support Apple Music?
18 months ago
I don't understand how this is a problem. Shazam isn't a streaming service; it simply identifies songs. I guess Apple could engineer it so that it displayed songs only on Apple Music and tried to steer users to buy it if they don't already have Apple Music. But I'm sure in that case another app would come along to fill in the gaps.
18 months ago
It almost sounds as though they don't actually understand what Shazam is. Like they're assuming it's another music streaming service.
18 months ago
I don't understand how this is a problem. Shazam isn't a streaming service; it simply identifies songs. I guess Apple could engineer it so that it displayed songs only on Apple Music and tried to steer users to buy it if they don't already have Apple Music. But I'm sure in that case another app would come along to fill in the gaps.
Exactly.
It is up to the customers who they pick as their streaming service. This complain doesn't make sense.
18 months ago
I don't understand how this is a problem. Shazam isn't a streaming service; it simply identifies songs. I guess Apple could engineer it so that it displayed songs only on Apple Music and tried to steer users to buy it if they don't already have Apple Music. But I'm sure in that case another app would come along to fill in the gaps.
Shazam is hooked into the backend of different companies. This is less about streaming and more about the data that Shazam has... data that belongs to some of Apple's competitors.It is up to the customers who they pick as their streaming service. This complain doesn't make sense.
You're missing the point. This isn't about choosing a streaming service. This is about safeguarding against the possibility of Apple stifling competition by removing access to "backend" Shazam which is used by multiple services. It's also about Apple not being able to analyze competitors data that Shazam has accrued over the years. Further, if Shazam's hooks into other companies were allowed to remain, would Apple be allowed to continue to analyze that data?
18 months ago
In particular, they believe that Apple could gain access to sensitive data that could allow Apple to directly target its competitors' customers and encourage them to switch to Apple Music.
The EU sure seems to have a problem with companies trying not to waste their customers' time. I'm sure all of this has NOTHING to do with Spotify being an EU based company. :rolleyes:
18 months ago
Now, if they could just force Apple to allow the Homepod to use other services.
The sales figures may do that for them.
18 months ago
The EU sure seems to have a problem with companies trying not to waste their customers' time. I'm sure all of this has NOTHING to do with Spotify being an EU based company. :rolleyes:
The EU rightly does this all the time, and it is about protecting their citizens from US companies[ Read All Comments ]
For this week's giveaway, we've teamed up with Vessel to offer MacRumors readers a chance to win a Signature 2.0 Backpack.
Vessel makes all kinds of backpacks, briefcases, and bags, but...
Discounts on the latest iMacs remain ongoing this month, with Amazon and B&H Photo now offering a new all-time-low price on the 27-inch Retina iMac with 8GB RAM and a 1TB Fusion Drive. This model...
Google and Apple calendars are not playing friendly right now.
As alerted to us by multiple MacRumors readers, there appears to be a syncing issue with Google Calendar and Apple's...
Apple Music today launched a new curated playlist called "New Music Daily," which as the name suggests, is updated every day with fresh songs.
Made up of "new music you simply...
Taylor Swift revealed today on Instagram that she will be the next partner in Apple's "Music Lab" sessions, which are available in Apple retail stores.
The Music Lab session will...
Satechi today announced the Type-C Dual Multimedia Adapter, which plugs into two of the MacBook Pro's USB-C ports to offer a handful of add-on ports.
In total, this includes: one 4K HDMI...
Spotify today announced that it is extending its free-trial period for Spotify Premium to three months, up from the previous one month that users would have to try out the paid service. With this...
OtterBox today announced a new expandable wireless charging system that it calls "OtterSpot," which includes one charging base that can power up multiple batteries and a smartphone...
