Spotify, Deezer, and other Apple critics are having a field day today. This morning, the Department of Justice filed an antitrust suit over how Apple controls the smartphone market. This comes in addition to Apple’s woes in Europe, where it is mitigating compliance with the Digital Markets Act and has been ordered to pay a $2 billion fine following a complaint made by Spotify.
The DOJ complaint, which was joined by attorneys general and district attorneys from 16 other states, alleges that “Apple undermines apps, products, and services that would otherwise make users less reliant on the iPhone, promote interoperability, and lower costs for consumers and developers.” The filing points to a number of practices that allow it to maintain control over its smartphone and app ecosystem, including blocking apps that use cloud streaming and preventing the development of other digital wallets. It also calls out one of the main grievances of tech companies, including (and especially) Spotify: the 30 percent fee on in-app purchases. “As Apple exercised its control of app distribution and app creation, Apple slowed its own iPhone innovation and extracted more revenue and profit from its existing customers through subscriptions, advertising, and cloud services,” the filing reads. The Coalition for App Fairness, a group of developers that includes Spotify, Epic Games, and Deezer, applauded the move by the DO
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