The EU’s antitrust regulator has launched an investigation into Apple’s acquisition of music identification service Shazam. It’s concerned that the deal could shrink consumer options for mobile music streaming services within the EEA (European Economic Area).
In February, multiple countries, including Austria, France, Iceland, and Spain, requested that the European Commission assess the acquisition to determine whether it’s allowedunder a EU merger law. The deal, according to the Commission, “may have a significant adverse effect on competition in the European Economic Area.” That request is now being acted on, with an investigation deadline set of September 4th.
The primary worry appears to be that Spotify and Apple currently gain 1 million clicks per day through the Shazam app. While Shazam is still live, if Apple were to shut it down or only direct referrals to its own music service, Spotify could lose a significant amount of traffic. Additionally, officials point out that Apple could use Shazam’s data to unfairly target its rivals’ users and “encourage them to switch to Apple Music.”
EU competition commissioner Margrethe Vestager said in a statement, “The way people listen to music has changed significantly in recent years, with more and more Europeans using music streaming services. Our investigation aims to ensure that music fans will continue to enjoy attractive music streaming offers and won’t face less choice as a result of this proposed merger.”
Full Content: Europa Press
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
Featured News
Pork Industry Faces Legal Challenges as Antitrust Lawsuits Against Seaboard Foods Dismissed
Oct 2, 2024 by
CPI
CMA Strengthens Investigation with Advisory Panel of Veterinary Experts
Oct 2, 2024 by
CPI
US Merchants Sue Visa, Alleging Unfair Dominance in Debit Card Market
Oct 2, 2024 by
CPI
European Commission Appoints New Chief Competition Economist
Oct 2, 2024 by
CPI
EU Commission Requests Information from YouTube, Snapchat, TikTok on Algorithm Usage
Oct 2, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Refusal to Deal
Sep 27, 2024 by
CPI
Antitrust’s Refusal-to-Deal Doctrine: The Emperor Has No Clothes
Sep 27, 2024 by
Erik Hovenkamp
Why All Antitrust Claims are Refusal to Deal Claims and What that Means for Policy
Sep 27, 2024 by
Ramsi Woodcock
The Aspen Misadventure
Sep 27, 2024 by
Roger Blair & Holly P. Stidham
Refusal to Deal in Antitrust Law: Evolving Jurisprudence and Business Justifications in the Align Technology Case
Sep 27, 2024 by
Timothy Hsieh