Markets Shrug Off Apple's Revised Music-Streaming Charges

There have been a series of revisions to the charges against Apple AAPL -0.28%, with regulators focusing their objections against the tech giant in an antitrust case that was initiated by Spotify, the rival streaming service.

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On Tuesday, the European Commission (EC) sent revised charges to Apple (ticker: AAPL), with European Union regulators narrowing their objections to what they claim is an abuse of the group's dominance in the music streaming market due to its control of the App Store.

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In an investigation by the EU antitrust watchdog, it was found that Apple restricts the ability of app developers to inform iPhone and iPad users about alternative services that may be cheaper. These so-called anti-steering obligations are stated to be illegal by the EU antitrust watchdog. Apple is not required to have these restrictions in order to provide the App Store for its devices, they are detrimental to users of music streaming services who may end up paying more, and they limit effective consumer choice that negatively impacts rivals, according to the Commission.

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The move by Apple on Tuesday represents the latest salvo in what has been called an antitrust lawsuit dating back to April 2021, which was prompted by a complaint filed by Spotify SPOT +1.29% (SPOT), which runs its own app on the App Store and competes with Apple's Apple Music service. Furthermore, it was initially taken into account that Apple imposed in-app purchase technology on developers as well in addition to the anti-steering obligations, but the Commission said on Tuesday that, for purposes of the antitrust investigation, it no longer takes a position on this issue.

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Earlier today, Spotify’s general counsel, Eve Konstan, said in a statement that “the European Commission sent a clear message that Apple’s anticompetitive behavior and unfair practices have harmed consumers and disadvantaged developers for far too long. “There is no doubt that consumers need to be protected and fair competition restored on the iOS platform, therefore we urge the Commission to reach a quick decision in this case."

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A request for comment from Trade Algo was not immediately responded to by Apple.