After a complaint from music streaming provider Spotify, Apple is threatening further charges from the EU over possible competition barriers. The allegations would be made official within weeks. According to a news agency report Reuters The European Union’s Competition Commission is planning a new lawsuit against Apple. The background to this is an investigation launched by the EU following a complaint from Spotify. Apparently, it concerns the restrictive regulations with which Apple restricts third-party providers in their app store when choosing additional payment options.
The EU had made similar allegations against Apple last year, but in the meantime, the ongoing investigation is likely to find additional evidence of anti-competitive behavior. As a result, the EU’s action will probably be expanded again in the short term, although the proceedings against Apple have been going on for some time.
Apple, through its App Store guidelines, states that the software vendors for its various hardware products can only process in-app payments through its own services. External payment services are practically not supported. Apple has long been criticized for the high 30 percent commission that Apple collects on every in-app purchase and the company’s position as the sole app store provider for iOS.
Many app developers find the costs of processing payments through Apple too high. They also accuse the American computer company of abusing its alleged monopoly position. Apple’s huge market power in the smartphone sector has always fueled investigations and allegations of antitrust violations. However, given the company’s tens of billions of dollars in annual sales, the fines imposed so far seem like a drop in the ocean.
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