Spotify hasn’t been able to get Apple to approve an EU app update that adds subscription pricing information and links to Spotify’s website, and it turns out that’s because Spotify hasn’t agreed to the Right of Services terms. Apple Music Streaming.
Why Spotify and Apple Dispute?
A recent European Commission antitrust ruling fined Apple nearly $2 billion and ordered Apple to “remove anti-steering provisions” for music apps in the European Economic Area (EEA). As a result, Apple updated its App Store rules with a Right to Music Streaming Services that allows music apps in the EEA to inform users about other ways to purchase digital music content or services and add links to sites. website to buy digital music subscriptions.
This might seem like a win for apps like Spotify, but Apple requires developers who use the right to pay a 27 percent fee (reduced for subscriptions longer than a year and for small businesses) on all purchases on websites referred by Manzana. So if Spotify places a link in its app and a user clicks on it and subscribes, Spotify would owe Apple a 27 percent commission (three percent less than the App Store purchase fee).
Spotify currently doesn’t pay money to Apple and doesn’t want to. Immediately after the European Commission’s ruling, Spotify introduced an update to the EU app on March 5 that contained information on subscription prices and links to its websites for customers to make purchases. This was before Apple announced its rights plan.
Apple ignored the Spotify app update, and Spotify complained on March 14 that Apple had not “acknowledged or responded” to its App Store submission. Spotify at that time asked the European Commission to force Apple to approve the update to its application.
Apple continued to ignore Spotify’s submission, until today, when Spotify introduced a new version of its app. Spotify said in X (formerly Twitter) that the update has no links and includes only “minimum” pricing and a mention that subscriptions can be purchased on Spotify, which it claims is acceptable under the European Commission’s ruling.
However, Spotify left out a small detail. It turns out that Spotify did not apply for a right to music streaming services and did not agree to Apple’s new terms for such a right. The App Store review team sent Spotify a letter (via Keynote USA) saying that the right is necessary although there is no link because Spotify’s submission has a call to action to purchase a Spotify subscription on its website.
We’re contacting you with new information about your app, Spotify – Music & Podcasts, version 8.9.33.
As you may already know, Apple created a new Music Streaming Services Right (EEA) for iOS and iPadOS music streaming apps offered in EEA stores. The right allows music streaming apps to use buttons, external links or other calls to action to direct customers to a purchasing mechanism on a website owned or controlled by the developer. You must accept their terms before adding any of these capabilities to your application. Find more information about the right here.
We notice that your current submission includes a call to action to purchase a Spotify subscription on your website. As such, you must accept the terms of the Entitlement to Music Streaming Services (EEA) and include the entitlement profile in your application for submission. To be clear, this right is required even if your app does not include an external link (nor does it require you to provide an external link). However, we will approve version 8.9.33 after you accept the EEA terms and resubmit it for review.
If you have any questions about this information, please reply to this message to let us know.
Apple says that if Spotify agrees to the terms of the Right to Streaming Music Services, it will approve the latest update to the Spotify app. Without a link to Spotify’s website, Spotify presumably wouldn’t have to pay a commission to Apple because Apple would have no way of tracking clicks from its app to Spotify, but there may be some other part of the right that Spotify is reluctant to accept. by.
Apple does not plan to allow Spotify to include a link to Spotify’s website without paying the required 27 percent fee, but adding information about the subscription price without a link appears to be permitted based on the language of Apple’s letter to Spotify.
Spotify has confirmed that it does not plan to sign up to Apple’s App Store commercial terms in the EU, which are separate from the Right to Music Streaming Services and are part of the changes Apple implemented as required by the Digital Markets Act.
Because Spotify does not want to accept the commercial terms of the EU App Store, you are limited in the features you can add to your app in the EU. To offer the Spotify app directly from its website in the EU, Spotify would have to accept the terms and pay a basic technology fee of €0.50 for users who download the app.
Spotify doesn’t allow customers to sign up for a Spotify subscription in the app as of now, so you don’t have to pay anything. Web-based distribution and linking to Spotify’s website have fees associated with it, and Spotify is looking for a solution where you don’t have to pay anything. Spotify’s full statement on its update, from Director of Public Affairs Dustee Jenkins:
Despite Apple’s attempts to punish developers with new fees, we remain committed to giving consumers real choices in our app at no additional cost. That’s why we’ve sent a new update to Apple. It includes basic pricing and website information – the bare minimum outlined in the European Commission’s ruling in its music streaming case.
By charging developers to communicate with consumers through in-app links, Apple continues to violate European law. It is time for the Commission to enforce its decision so that consumers can see real and positive benefits.
Although Spotify has a clear path for its app update to be approved, the company claims that Apple is violating European law by charging the 27 percent fee for links and is calling on the European Commission to “enforce its decision.”.Keynote USA News
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