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Saturday, November 2, 2024

Apple fined £1.5bn for not notifying users of cheaper music streaming options | Business News

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Apple has been fined €1.8bn (£1.54bn) by the EU for favouring its own music streaming service rather than rivals.

Apple didn’t fully inform their device users there were alternative and cheaper subscription services for more than a decade, said the EU executive, the European Commission.

As a result, iPhone and iPad users paid “significantly higher prices for music streaming subscriptions”, it said.

The fine has been issued due to a complaint by streaming service Spotify which launched a five year investigation focused on how Apple prevented app developers from telling users of cheaper ways to pay for subscriptions without going through an app.

It found that Apple stopped streaming services, such as Spotify, from letting users about how much subscription offers cost outside of Apple apps, such as Apple Music.

In response Apple said: “The decision was reached despite the commission’s failure to uncover any credible evidence of consumer harm, and ignores the realities of a market that is thriving, competitive, and growing fast.”

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