<\/span><\/h2>\nApple’s proposed plan to comply with the European Union’s Digital Markets Act (DMA) has faced criticism from Spotify, with the music streaming giant calling it „a complete and total farce.“ Under the new rules set by the EU, developers will be able to offer alternative app stores on iPhone and opt out of using Apple’s in-app payment system, which charges commissions of up to 30 percent. However, Apple still requires developers to pay a „core technology fee“ of EUR 50 per user account per year. Spotify argues that this fee, along with the commission charges, is unfair and burdensome.<\/p>\n
<\/span>Apple’s App Store Changes and the DMA Regulations<\/span><\/h2>\nApple’s proposed changes to its App Store aim to comply with the EU’s DMA regulations. These changes allow for alternative app stores on iPhone and give developers the option to use their own in-app payment systems instead of Apple’s, thus bypassing Apple’s commission charges. However, developers are still required to pay a core technology fee of EUR 50 per user account per year. Critics argue that these changes do not go far enough and that the core technology fee is still an unnecessary burden on developers.<\/p>\n
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<\/span>Spotify’s Criticism of Apple’s Plan<\/span><\/h2>\nSpotify has been one of the most vocal critics of Apple’s plan to comply with the DMA regulations. The music streaming giant argues that Apple’s proposed changes are a „complete and total farce“ and that the core technology fee and commission charges are unfair. Spotify points out that it would have to pay a 17 percent commission if it stays in the App Store and offers its own in-app payment under the new terms. Spotify believes that Apple’s actions are anti-competitive and hinder innovation in the app market.<\/p>\n
<\/span>Commission Charges for Spotify<\/span><\/h2>\nUnder Apple’s new plan, Spotify would still be subject to commission charges if it chooses to stay in the App Store and offer its own in-app payment system. Spotify argues that this is unfair and that it would have to pay a 17 percent commission, which is higher than what it currently pays under Apple’s existing system. Spotify believes that these commission charges create an unlevel playing field and put third-party apps at a disadvantage.<\/p>\n
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<\/span>Apple’s Defense and Statement<\/span><\/h2>\nApple has defended its proposed plan, stating that every developer has the choice to stay on the same terms in place today. According to Apple, under the new terms, more than 99 percent of developers would pay the same or less to Apple. The tech giant maintains that its plan is fair and that it complies with the EU’s DMA regulations. Apple emphasizes that it is providing alternative options for developers and giving them more flexibility in their app distribution and payment systems.<\/p>\n
<\/span>Developers’ Choices and Payments to Apple<\/span><\/h2>\nApple’s proposed plan gives developers more choices in terms of app distribution and payment systems. Developers can choose to offer alternative app stores on iPhone and use their own in-app payment systems instead of Apple’s. However, developers are still required to pay a core technology fee of EUR 50 per user account per year. While this fee is an added cost for developers, Apple argues that it is necessary to cover the costs of maintaining and improving the App Store ecosystem.<\/p>\n
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<\/span>Apple’s Possible Consequences<\/span><\/h2>\nIf Apple’s proposed App Store changes do not meet the requirements of the EU’s DMA regulations, the tech giant could face strong action from the EU. The EU’s industry chief has made it clear that Apple must comply with the regulations or face consequences. It remains to be seen what specific actions the EU may take if Apple’s plan is deemed insufficient, but potential consequences could include fines or other penalties aimed at ensuring compliance with the DMA regulations.<\/p>\n