Spotify Apple EU

Photo Credit: Felipe Pelaquim

A new report suggests EU regulators are prepping to side with Spotify in its antitrust battle against Apple. Here’s the latest.

According to Bloomberg, European regulators are preparing a ruling that would prevent Apple from “blocking music services from pushing their users away from the App Store to alternative subscription options.” The move is one intended to reign in Apple’s anti-steering behavior—which prevents developers from mentioning alternative payment methods in-app.

The EU reached a preliminary conclusion in 2021 that the App Store favored Apple Music over Spotify and other music streaming services. Spotify filed a complaint with EU regulators in 2019, seeking help for what it called antitrust behavior.

“EU regulators are putting the finishing touches to a decision that would prohibit Apple’s practice of blocking music services from pushing their users away from the App Store to alternative subscription options, according to people familiar with the investigation,” the Bloomberg report reads. “The decision is slated for early next year.”

While this particular ruling will only focus on Apple’s anti-steering rules and only for music streaming services, the broader Digital Markets Act in the EU could bring about more changes. It’s also possible Apple could face a potentially hefty fine—as much as 10% annual sales in the EU. Bloomberg notes that these penalties seldom reach the maximum level, however.

Currently, Spotify does not allow new subscriptions from the App Store at all. That could change once the ruling is passed and Spotify is allowed to direct consumers to its own payment partner. Spotify’s complaint from four years ago says it was forced to raise subscription prices on iOS users before dumping them all together because of Apple’s 30% tax.

While Spotify was the initial filer of the complaint, all music services that exist as an app will benefit—at least in the EU. It’s unclear if Apple will do anything to change how the App Store functions in the United States once this ruling is handed down.