The European Union has imposed a €1.8bn (£1.5bn) fine on Apple for violating competition regulations concerning music streaming.
According to the European Commission, Apple was found guilty of prohibiting streaming services from informing users about payment alternatives outside of the Apple app store.
Margrethe Vestager, the competition commissioner, stated that Apple abused its dominant market position for a decade and ordered the tech giant to lift all restrictions.
Apple has announced its intention to appeal the decision.
The European Commission’s action was prompted by a complaint from Spotify, a Swedish music streaming service, which objected to the restriction and Apple’s 30% fee.
Vestager emphasized that Apple hindered developers from informing consumers about cheaper music services outside of its ecosystem, a practice deemed illegal under EU antitrust rules.
Apple, however, has contested the decision, arguing that there is no evidence of consumer harm. The company maintained that the market is thriving, competitive, and growing rapidly.
Apple also pointed out that Spotify, the main advocate for the decision, stands to benefit the most from the ruling, having met with the European Commission numerous times during the investigation.
Spotify welcomed the fine imposed on Apple, characterizing it as a significant moment and a strong message against abusive power.
Spotify argued that no company, even a monopoly like Apple, should misuse its influence to control interactions with customers.
Apple clarified that Spotify does not pay any commission to them since it sells subscriptions on its website rather than through the app store.
However, Spotify contended that the restrictions favor Apple’s competitor, Apple Music.
Source-BBC
