Spotify Calls Apple's App Store Restrictions 'An Abusive Power Grab'

At an App Store antitrust hearing that took place today, Spotify and Match Group (the company behind Tinder) accused Apple of abusing its ‌App Store‌ powers to to disadvantage rival services, reports Bloomberg. Spotify chief Legal Officer Horacio Gutierrez said that Apple's rules are "nothing more than an abusive power grab."

app store blue banner spotfiy

"Apple abuses its dominant position as a gatekeeper of the App Store to insulate itself from competition and disadvantage rival services like Spotify," Horacio Gutierrez, Spotify's chief legal officer, told lawmakers. Apple's restrictions on developers, he added, "are nothing more than an abusive power grab and a confiscation of the value created by others.

Spotify has had an ongoing feud with Apple since the debut of Apple Music. ‌Apple Music‌ is priced at $9.99, a price point that Spotify is unable to match due to the 30 percent cut that Apple takes, as it does not leave enough margin for Spotify to make money. Spotify has complained that it has no choice but to charge more on iOS devices and no alternative as Apple does not allow it to offer alternative signup or payment options in its app.

Match, meanwhile, complained that it had wanted to add ID verification rules to boost the app's safety in Taiwan, but Apple would not allow it to do so. Match contacted an Apple executive, who allegedly told the company that it should be glad Apple was not taking all of its revenue. "You owe us every dime you've made," the Apple executive reportedly said.

The "Antitrust Applied: Examining Competition in App Stores" hearing is examining App Stores and mobile competition, and is focused on Apple and Google. Apple's Chief Compliance Officer Kyle Andeer was in attendance to defend Apple.

Andeer stuck to Apple's standard talking points about how the ‌App Store‌ revolutionized software distribution and made it easier for developers to reach new users. Andeer said that Apple's strict ‌App Store‌ rules are designed to meet privacy, safety, and performance standards.

Apple's ‌App Store‌ rules are also facing a U.S. Department of Justice antitrust investigation, and Apple is currently gearing up for a showdown over its ‌App Store‌ policies with Epic Games.

Top Rated Comments

macsimcon Avatar
14 months ago
You know, 25 years ago, Apple was about to self-destruct. Now they're the most valuable company on Earth. Perhaps if these little whiners like Tile, Epic, and Spotify innovated more and complained less, they might be able to compete, survive, and thrive.

This isn't flag football, this is capitalism. Stop your complaining and MAKE something.
Score: 41 Votes (Like | Disagree)
larrylaffer Avatar
14 months ago
The company that pays the least amount of money per play among all the streaming platforms is accusing someone else of a power grab.
Score: 36 Votes (Like | Disagree)
countryside Avatar
14 months ago
Shut up, Spotify! Make your own OS.
Score: 28 Votes (Like | Disagree)
nitramluap Avatar
14 months ago
Says the company who pays SFA to artists. The nerve.
Score: 28 Votes (Like | Disagree)
farewelwilliams Avatar
14 months ago
Except the 30% that Spotify doesn't want to pay supports the indie developers who rely on Apple developer resources to create useful apps for iPhone customers which expands the customer base and makes more money for indie devs in the long run. Don't like that paradigm? Then don't develop for it.
Score: 26 Votes (Like | Disagree)
Darth.Titan Avatar
14 months ago

Apple Music is priced at $9.99, a price point that Spotify is unable to match due to the 30 percent cut that Apple takes, as it does not leave enough margin for Spotify to make money.
Pretty sure Spotify hasn't turned a profit since they opened their business. Not sure how they're keeping the lights on.
Score: 18 Votes (Like | Disagree)

Related Stories

spotify complaint apple eu

Spotify Legal Chief: 'Apple's Ability to Strangle its Competitors is Unprecedented'

Tuesday May 18, 2021 1:35 pm PDT by
Amid the ongoing legal battle between Epic Games and Apple, Spotify's chief legal officer and head of global affairs Horacio Gutierrez penned an anti-App Store op-ed in The Wall Street Journal, where he summarizes Spotify's issues with Apple. Gutierrez says that Spotify is one of the few companies that insists Apple is a "ruthless bully that uses its dominance to hobble competitors."...
European Commisssion

EU Likely to Charge Apple With Anti-Competitive Behavior This Week

Tuesday April 27, 2021 2:06 am PDT by
The European Commission will this week bring charges against Apple over concerns that its App Store rules break EU competition law, reports the Financial Times. The charges relate to a two-year-old antitrust dispute with Spotify. Margrethe Vestager, the EU's competition chief, will late this week publicly issue charges against Apple over concerns that the rules it sets for developers on its...
app store blue banner epic 1

Epic vs. Apple Takes a Twist As 35 US States and Department of Justice Weigh in to Back 'Fortnite' Maker

Friday January 28, 2022 4:27 am PST by
Apple is stifling competition with its monopoly on app distribution through the App Store, attorneys general for 35 states told a California appeals court on Thursday. The joint statement was submitted into the appeals process that is ongoing following the judge's decision in the Epic v. Apple lawsuit, with the attorneys general siding with the "Fortnite" video game maker on the issue,...
PR 2021 Top5Artists A 1

'Spotify Wrapped' Recaps Your Listening History for 2021

Wednesday December 1, 2021 7:39 am PST by
Spotify today made its annual recap feature "Spotify Wrapped" available to users on the iOS and Android app. This feature tracks your top artists, genres, songs, podcasts, and minutes listened, and generates graphics that are easily shareable on social media. There are a few new additions to Spotify Wrapped 2021, including "2021: The Movie," which pairs your top songs with classic scenes...
European Commisssion

Apple in Breach of EU Competition Law, European Commission Finds

Friday April 30, 2021 3:39 am PDT by
Apple has been found to be in breach of EU competition law with Apple Music, according to the preliminary findings of the European Commission. The charges relate to a two-year-old antitrust dispute initiated by Spotify. The European Commission was expected to bring charges against Apple over concerns that its App Store rules break EU competition law this week, and ahead of a formal verdict,...
spotify hifi still waiting

Spotify Still Can't Say When Its Delayed 'HiFi' Streaming Service Will Launch

Monday January 10, 2022 2:08 am PST by
Spotify users waiting to learn when the service's delayed "HiFi" premium audio service will materialize currently remain none the wiser, after the company responded noncommittally to requests for more information on its user community forums. Back in February, Spotify announced plans to introduce a "HiFi" premium tier by the end of 2021. According to Spotify, the feature will offer...
cydia vs apple feature

Judge Dismisses Cydia Creator's Lawsuit Against Apple For Now

Wednesday January 5, 2022 9:33 pm PST by
U.S. District Judge Yvonne Gonzalez Rogers today granted Apple's motion to dismiss a lawsuit filed against the company by Jay Freeman, creator of an alternative App Store known as Cydia for "jailbroken" iPhones and iPads. The case might not be over yet, however, as Freeman was given the option to file an amended complaint by January 19. Freeman sued Apple in late 2020, alleging that the...
iOS App Store General Feature JoeBlue

Developers Now Able to Submit Claims for $250 to $30,000 Payments From Apple in Lawsuit Settlement

Friday January 14, 2022 12:24 pm PST by
Apple in August announced plans to pay $100 million to settle a class-action lawsuit levied by U.S. developers, and as of today, the website that will allow developers to submit a claim for a payout has gone live. The $100 million that Apple provided is being distributed as part of a "Small Developer Assistance Fund," and developers can claim between $250 and $30,000 based on their historic...

Popular Stories

RIP iPod Feature

RIP iPod: A Look Back at Apple's Iconic Music Player Over the Years

Friday May 13, 2022 2:25 pm PDT by
Apple earlier this week announced the discontinuation of the iPod touch, and because it was the last iPod still available for purchase, its sunsetting effectively marks the end of the entire iPod lineup. To send the iPod on its way, we thought it would be fun to take a look back at some of the most notable iPod releases over the last 21 years. Original iPod (2001) Introduced in October...
iOS 16 mock for article

Gurman: iOS 16 to Include New Ways of System Interaction and 'Fresh Apple Apps'

Sunday May 15, 2022 6:14 am PDT by
iOS 16 will include new ways of interacting with the system and some "fresh Apple apps," Bloomberg's Mark Gurman has said, offering some more detail on what Apple has in store for the upcoming release of iOS and iPadOS set to be announced in a few weeks at WWDC. In the latest edition of his Power On newsletter, Gurman wrote that while iOS 16 is not likely to introduce a major face-lift to...
maxresdefault

Unbox Therapy Shares Hands-On Look at iPhone 14 Pro Max Replica

Monday May 16, 2022 4:40 am PDT by
YouTuber Unbox Therapy has shared a hands-on look at the iPhone 14 Pro Max using what he claims is a one-to-one replica created by third-party case makers with access to detailed schematics and dimensions for Apple's new upcoming flagship smartphone. As with the iPhone 13 Pro lineup, in 2022, we are expecting a 6.1-inch iPhone 14 Pro and a 6.7-inch iPhone 14 Pro Max, but this time the Pro...
iOS 15

Apple Releases iOS 15.5 and iPadOS 15.5 With Wallet and Podcast Updates

Monday May 16, 2022 10:00 am PDT by
Apple today released iOS 15.5 and iPadOS 15.5, the fifth major updates to the iOS and iPadOS 15 operating systems that were initially released in September 2021. iOS and iPadOS 15.5 come a little over two months after the launch of iOS 15.4 and iPadOS 15.4. The iOS 15.5 and iPadOS 15.5 updates can be downloaded for free and the software is available on all eligible devices over-the-air in...
14 16 inch 2021 mbps back to back feature orange

Five Things You Still Can't Do With a MacBook Pro

Wednesday May 11, 2022 11:16 am PDT by
It's been over 200 days since Apple debuted its redesigned MacBook Pro lineup. Offered in 14-inch and 16-inch display sizes, the new-look MacBooks wowed Apple fans and creative pros alike with their powerful custom Apple silicon, mini-LED screen, and multiple connectivity options. But there are still some things you can't do with a MacBook Pro. Here are five features some Mac users are still...
apple mac ipad watch trade in

Apple Launches Limited-Time Bonus Trade-In Credit for iPhone, iPad, Mac, and Apple Watch in Many Countries

Wednesday May 11, 2022 5:14 am PDT by
Apple has launched a special limited-time offer for iPhone, Apple Watch, Mac, and iPad trade-in that offers customers additional credit when trading in their only device for a new one. The offer is being run in several countries including the US, UK, Germany, Spain, Italy, South Korea, Japan, Taiwan, China, India, and France. In the UK, Apple is offering up to £50 of extra trade-in credit...
airpodsprodesign

Kuo: AirPods, MagSafe Battery Pack, and Other Apple Accessories Also to Switch to USB-C in Future

Sunday May 15, 2022 5:59 am PDT by
Earlier this week, well-known Apple analyst Ming-Chi Kuo claimed that Apple plans to release at least one iPhone 15 model with a USB-C port in 2023. Now, in a follow-up tweet, he has claimed that accessories like AirPods, the MagSafe Battery Pack, and the Magic Keyboard/Mouse/Trackpad trio would also switch to USB-C in the "foreseeable future." Both the iPhone and all of the aforementioned...