Spotify Sprays Apple for Violating EU Tech Law! CEO Ek Calls for Heavy Penalties, Fearful of Trump Tariff Retaliation

Spotify CEO Daniel Ek has once again fired shots at Apple (Apple), accusing the tech giant of continuing to violate the EU's Digital Markets Act, DMA, and urging the EU to heavily penalize Apple. Ek stated that Apple's compliance with the DMA is simply a 'charade' and accused Apple of habitually delaying to evade regulations.

The European Union may impose hefty fines, which could anger the US government.

According to Bloomberg, Teresa Ribera, the European Commissioner for Competition, previously promised to make a decision on Apple's DMA compliance by the end of March. Under the DMA regulations, violating companies could face fines of up to 10% of their global annual revenue. However, this may trigger dissatisfaction from the US government, as US President Donald Trump recently signed a memorandum threatening the EU with retaliatory tariff measures if disproportionate fines are imposed on US tech companies.

Ek personally traveled to Brussels this time to meet with European Commission officials and emphasize that DMA should be strictly enforced. He has long been a strong critic of Apple, even prompting the European Union to fine Apple. Last year, the European Commission fined Apple about $2 billion over Spotify's complaint, citing Apple's ban on music streaming apps informing users of cheaper subscription options outside the App Store. In addition, the European Union is also investigating Apple's other violations under the DMA specification.

Apple responds low-key, emphasizing the risks of third-party App Stores

Apple did not respond directly to Ek's accusations, only reiterating its previous statement, expressing "concern" over the pornographic apps found in a third-party app store set up in the European Union last year.

However, Ek's current demand is to urge the EU to force Apple to fairly open the iPhone's App Store, which is also one of the core requirements of the DMA. Although Apple announced in March a plan to allow third-party App Stores to enter iOS, it also attached a series of conditions and new fees, making it almost impossible for new stores to operate. Ek criticized: "Apple's so-called opening of new stores is actually designing a set of rules that are almost impossible to achieve and imposing high fees, making it impossible to truly compete with Apple."

Spotify's user count reaches a new high, the 'beef' with Apple continues

Although the beef with Apple has not yet been lifted, Spotify still has a record subscriber growth, reaching $1.17 billion in annual profit for the first time in the full year of 2024. It's worth noting that Spotify's new users are mostly from emerging markets like Asia, Latin America, and the Middle East, rather than mature markets like North America and Europe.

Apple is still in the U.S. lawsuit with Epic Games, the developer (Fortnite) Stronghold Heroes, a legal battle that has been going on for four and a half years, and the focus is also on antitrust law violations. This game between technology giants and regulators continues, and whether the EU will impose heavy fines on Apple in the future depends on whether the attitude of the US government will put pressure on the EU.

(Trump talks about the Ukraine-Russia war and responds to the EU: Putin is willing to cease fire but Biden is incapable of handling it, reciprocal tariffs to uphold US interests)

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