• Apple fined 500 million euros ($539 million) for its policy that prevents iPhone apps from telling users about cheaper alternatives to Apple’s music service.
  • Apple was charged more than $1 billion in 2020, but French authorities reduced the fine to about $366 million after the company appealed.

$539 million may sound like a lot, but by the time the EU updated its objections last year, a much larger fine approaching $40 billion (or 10 percent of Apple’s annual global turnover) was already on the table.

Root of the problem

A report in the Financial Times early Sunday said the regulator fined 500 million euros (about $539 million) after investigating Spotify’s complaint that Apple’s policy prevented iPhone apps from telling users about cheaper alternatives to Apple’s music service.
The problem stems from Apple limiting apps and users to its App Store payment system.Spotify complained in 2019 that Apple’s policies were stifles competition to Apple Music, and launched an EU investigation the next year.The EU narrowed its objections to Apple’s refusal to let developers link to its own subscription sign-up even within its apps – a policy Apple reversed in 2022 under regulatory pressure from Japan.
$539 million may sound like a lot, but by the time the EU updated its objections last year, a much larger fine approaching $40 billion (or 10 percent of Apple’s annual global turnover) was already on the table. Apple was charged with more than $1 billion in 2020, but French authorities reduced the fine to about $366 million after the company appealed.

Also read:Spotify Premium to Offer Instant Access to 150,000+ Audiobooks

Apple’s response

An Apple representative, Emma Wilson, told The Verge via email that the company “does not comment on speculation,” referring us to a previous statement from another Apple spokesperson, Hannah Smith.

In February last year, Hannah Smith said the company wanted the Commission to stop pursuing the case, which Smith said was “without merit”. European Commission spokeswoman Lea Zuber declined to comment.

Spotify did not respond by press time.