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Apple Rejects Spotify’s Updated App Over In-App Pricing Disclosure

 |  April 25, 2024

Spotify, the popular audio streaming service, announced on Thursday that Apple had rejected its latest version of the iOS app due to the inclusion of pricing information within the app, a move that Spotify claims is necessary to comply with European Commission regulations.

According to a report from Reuters, Spotify, headquartered in Sweden, submitted a revised version of its app to Apple featuring basic pricing details and website links — an action mandated by the European Commission’s ruling in a recent music streaming case. However, Apple, based in Cupertino, California, rebuffed the update, directly informing Spotify of the rejection.

A spokesperson for Spotify expressed frustration, accusing Apple of flouting the European Commission’s directives and prioritizing profit over compliance with the law. “Apple has once again defied the European Commission’s decision, rejecting our update for attempting to communicate with customers about our prices unless we pay Apple a new tax,” the spokesperson stated.

Related: EU Scrutinizes Apple’s Compliance with Antitrust Order, Spotify Awaits Resolution

This latest clash follows a significant antitrust penalty levied against Apple by the European Commission in March, amounting to 1.84 billion euros ($1.97 billion). The penalty was imposed due to allegations that Apple had hindered competition from music streaming rivals through App Store restrictions, with Spotify’s 2019 complaint serving as a catalyst for the investigation, as reported by Reuters.

In response to regulatory pressure, Apple had recently announced measures aimed at allowing music streaming apps within the European Economic Area to inform users about alternative payment methods. However, Spotify’s submission to Apple did not include the proposed in-app link to external payment options.

The rejection of Spotify’s updated app underscores the ongoing tension between Apple and app developers over App Store policies and fees. While Apple’s proposal offers a pathway for compliance with EU mandates, Spotify’s refusal to include in-app links signals a continued standoff between the two tech giants.

Source: Reuters