Spotify recently sent a new version of its iOS app to the European Union with in-app pricing information. However, in a surprising twist, Apple decided to reject it. The reason is that Apple wants Spotify to accept its updated rules regarding rights for music streaming services. This would require Spotify to still pay Apple a 30% rights commission for in-app purchases. Spotify says it won’t accept Apple’s revised changes. This was said by the representative of the company, Jean Moran On the edge: “Apple has once again defied the decision of the European Commission. He rejected our update for trying to communicate with customers about our prices unless we pay Apple a new tax.
Apple wants Spotify to continue paying a 30% commission
Following the EU DMA, Spotify wanted to allow users to buy plans directly from its app. Despite an EU fine of €1.8 billion on Apple for abuse of power, the Cupertino-based firm found a way around the rules. The iPhone maker continues to charge Spotify a 30% commission. Ultimately, Spotify iOS users in the EU will have to exit the music streaming app and purchase a subscription through its website. Spotify made the following statement via X:
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“Apple continues to break European laws” and unfortunately that means we still can’t give EU users the information they need and the choices they deserve in our app.”
Apple spokeswoman Hannah Smith provided the message Apple sent to Spotify. It says: “This right is required even if your app does not include an external link (or require you to offer an external link). However, we will approve version 8.9.33 after you accept the terms of the Music Streaming Services License (EEA) and resubmit it for review.
According to TechCrunch, the latest version of the app does not come with a direct link to subscription plans on Spotify’s website. This method would allow the company to bypass the 30 percent cut Apple takes for subscriptions made through the App Store. Instead, EU users will be directed to manually visit Spotify’s website via a web browser to purchase cheaper subscription plans.
We are curious to see how this situation will change in the coming weeks. Stay tuned for more news.
