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Apple is fined over 1.8 billion euros. What is the cause?

2024-03-04 14:37:36Lifestyle SHKRUAR NGA REDAKSIA VOX

Apple is fined over 1.8 billion euros. What is the cause?

Apple has been fined by the EU more than 1.8 billion euros, marking the first time, for preventing Spotify and other music streaming services from informing users about payment options outside the App Store.

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

The European Union's competition enforcer said Apple's restrictions amounted to unfair trading conditions, a relatively new argument in an antitrust case and also used by the Dutch antitrust agency in a ruling against Apple in 2021 in a case brought by apps. for meetings.

The EU competition enforcer said it added an additional €1.8 billion to the base amount as a deterrent to Apple and because a significant part of the damage caused by Apple was non-monetary.

According to the decade-old decision, Apple abused its dominant position in the market for the distribution of music streaming applications through the App Store. The company did this by restricting developers from informing consumers about alternative, cheaper music services available outside of Apple's system. And this is illegal under EU antitrust rules. Apple criticized the EU decision, saying it would challenge it in court.

In a statement released to the media, Apple insists that the decision was made despite the Commission's failure to find any credible evidence of consumer harm and ignores the realities of a booming and rapidly growing market.

According to her, the main 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 also adds that the Swedish company does not pay any commission to Apple as it sells its subscriptions on its website and not in Apple's App Store.


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