Four years ago, Spotify filed a complaint against Apple with the European Commission (EC) over alleged restrictive rules and what it referred to as an “Apple tax”—a fee that developers must pay Apple where in-app payments or subscriptions are involved. The European Union (EU) Digital Markets Act (DMA) takes aim at “gatekeepers”—Big Tech companies that provide a connection between consumers and other services, such as Apple’s App Store. The DMA aims to stop those companies from stifling competition.
The EU regulation, which takes effect in 2024, could disrupt the whole app ecosystem. For instance, it will require that Apple allow iPhone users to download apps from places other than the App Store or that iMessage users be able to communicate with users of WhatsApp. Here are a series of opinion pieces we found of interest relating to Apple and the EU.
Epic Games CEO Tim Sweeney Thinks ‘Every Politician Should Fear’ Apple’s Power
In an opinion piece for The Verge, “Epic Games CEO Tim Sweeney thinks ‘every politician should fear’ Apple’s power,” Alex Heath, deputy editor for The Verge, interviewed Tim Sweeney who discussed the ongoing legal battle between his company and tech giants Apple and Google over their app store practices. Sweeney argues that the app stores’ 30% commission on in-app purchases is unfair and harms competition, and he believes that legislative action is necessary to regulate app stores.
Sweeney’s vision for the future of the app industry is one that is open and decentralized, with more transparency and fairness for developers and users alike. He envisions app developers able to distribute their products directly to consumers without going through app stores, and app consumers able to have more control over their data and the apps they use. Read the full article on The Verge.
Spotify Chief Urges EU to Accelerate Antitrust Case Against Apple
In an opinion piece in Financial Times, “Spotify chief urges EU to accelerate antitrust case against Apple,” Javier Espinoza, EU Correspondent for Financial Times, discusses the recent visit Daniel Ek, founder of Spotify, made to Brussels to apply personal pressure on the EC for a case against Apple’s practices to be accelerated. Ek said he spoke with competition commissioner Margrethe Vestager about what he sees as Apple’s “anti-competitive conduct.”
In 2019, Spotify filed a complaint with European regulators claiming Apple was taking a 30% cut of its subscription fees for featuring it in the App Store and was denying the streaming service the right to tell its users that other ways of upgrading were available. Read the full article on Financial Times.
Schibsted, Publishers Look to EU Tech Rules to Resolve Apple Antitrust Concerns
In an opinion piece for Reuters, “Schibsted, publishers look to EU tech rules to resolve Apple antitrust concerns,” Foo Yun Chee, European competition correspondent, writes about Schibsted and other publishers who have raised concerns about Apple’s App Store policies, particularly regarding the mandatory use of Apple’s payment system and the 30% commission charged on in-app purchases. These publishers argue that such policies give Apple an unfair advantage over competitors and stifle innovation.
In response to these concerns, Schibsted and other publishers are reportedly looking toward the EU’s upcoming DMA, which aims to promote fair competition in the digital marketplace and prevent tech companies from abusing their dominant market position. The publishers hope that the new rules will address their concerns about Apple’s App Store policies and lead to a more level playing field. Read the full article on Reuters.
Disclosure: Fatty Fish is a research and advisory firm that engages or has engaged in research, analysis, and advisory services with many technology companies, including those mentioned in this article. The author does not hold any equity positions with any company mentioned in this article.
The Fatty Fish Editorial Team includes a diverse group of industry analysts, researchers, and advisors who spend most of their days diving into the most important topics impacting the future of the technology sector. Our team focuses on the potential impact of tech-related IP policy, legislation, regulation, and litigation, along with critical global and geostrategic trends — and delivers content that makes it easier for journalists, lobbyists, and policy makers to understand these issues.
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