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It doesn’t sound like it should be big news that an app developer can list prices for their own service within their own app. But that’s the exact situation we find ourselves in while Apple continues its fight to exert total control over what happens inside the App Store.
Spotify Can Now Display Its Prices to Customers
Spotify can finally show iPhone users pricing information inside its own app, after Apple relented on one part of its fight against app developers. Unfortunately, this only applies in the European Union, with other markets unaffected (for now).
This is happening thanks to Spotify opting into Apple’s “Music Streaming Services Entitlement” that lets music streaming apps on the Apple App Store display pricing information.
Inan updated blog post, Spotify revealed the news, citing “progress” in its battle with Apple over what it can and can’t do with its own iOS app.
While Spotify has opted into the entitlement, it’s choosing not to link to external payment options. This is due to Apple demanding a 20 percent cut of payments made outside the App Store in itsupdated developer agreement. Spotify has condemned these as “illegal and predatory taxes”.
So, in the EU at least, Spotify will now display the price ofits subscription plansand notify users that they can pay on the Spotify website. However, there won’t be a link for users to click, as that would trigger Apple’s demand for a cut of the profit.
Why Has Apple Given Up Some Control of iPhone Apps?
Apple has publicly relented on this specific point after the European Commission found the company to be in breach of the EU’s antitrust laws by “abusing its dominant position”. The EC fined Apple €1.8 billion ($2 billion) as a result, and that hurts even for a company as rich as Apple.
So, months on from the fine being levied, Apple is taking steps to level the playing field ever so slightly in order to prevent more decisions going against it. And more fines as a result. However, this is unlikely to be the end of the fight.
Will This Decision Impact Other Markets Such as the US?
Unfortunately, Apple’s “Music Streaming Services Entitlement” only applies to the EEA (European Economic Area). So, for now at least, Spotify still cannot show iPhone users in the US its subscription prices within the app. It would need regulators in the United States to act to bring the same basic allowance to that market. And that isn’t likely to happen anytime soon despitethe US boasting strong antitrust laws.
