Apple's App Store changes fall short of EU's DMA rules, say Spotify, industry groups


FILE PHOTO: Logo of an Apple store is seen as Apple Inc. reports fourth quarter earnings in Washington, U.S., January 27, 2022. REUTERS/Joshua Roberts/File Photo

(Reuters) - Apple's proposed changes for its App Store policies "disregard" the European Union's new competition law for Big Tech firms and amplify its dominance over app developers, a group of more than 30 tech firms and associations, including Spotify, said on Friday.

The move is the latest in an effort led by Spotify Technology against the iPhone maker's App Store policies, which some developers and firms regard as unfair.

"Apple's new terms not only disregard both the spirit and letter of the law, but if left unchanged, make a mockery of the DMA (Digital Markets Act)," the group wrote in a letter to the European Commission.

Apple charges up to 30% annual fee from developers who distribute their apps through the App Store and restricts them to its own payments processing system.

The company in January proposed certain changes ahead of a March 7 deadline to comply with certain conditions of the DMA, a legislation meant to make it easier for European users to move between competing services.

Apple said it would allow alternative app stores on iPhones and an opt-out from using the in-app payments system, but set a "core technology fee" of 50 euro cents per user account per year for developers who sign up for the new regime.

"The new fee structure in the proposed new terms seems designed to maintain and even amplify Apple's exploitation of its dominance over app developers," the letter, also signed by U.S. gaming firm Epic Games and French music streaming service Deezer, said.

Signatories to the letter included European Publishers Council (EPC), which includes chairmen and CEOs of the region's leading media groups.

European Union Commissioner Thierry Breton had said in January Apple could face strong action if changes to its App Store do not meet incoming regulations.

(Reporting by Yuvraj Malik in Bengaluru; Editing by Shilpi Majumdar)

Follow us on our official WhatsApp channel for breaking news alerts and key updates!

   

Next In Tech News

Apple to urge judge to end US smartphone monopoly case
Japan government plans to invest $1.3 billion in chipmaker Rapidus in FY2025, Nikkei says
Google prosecutors to propose cure for search monopoly
OpenAI launches free AI training course for teachers
Mosti plans to use WBS to expand nationwide mobile broadband coverage
JPJ to introduce road tax expiry notifications on MyJPJ app
ECB warns of 'bubble' in AI stocks as funds deplete cash buffers
The Onion’s bid to acquire Infowars has gotten messy
AI photos showing girl students with nude bodies roil US private school
Google’s Chrome worth up to US$20bil if judge orders sale

Others Also Read