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I feel like Spotify should pull out of the Apple App Store completely. I have a feeling the result would backlash on Apple and not on Spotify. Android owns the mobile market anyways. If anything, it would make more people switch to Android. Anytime you get in between a person and their music, your asking for trouble.

They should. Then we can see how Spotify does without iOS users.
 
No, what Apple is doing is asking for 30% on your electricity bill from your power company, because you downloaded an app on Apple store. basically if you sign up using an app, apple wants 30% of what-ever for providing nothing else than the initial download. And you can't add a signup here in your app.
Ba ha ha... Music isn't a utility. There's a HUGE issue with comparing this to any kind of utility service. Utilities are regulated in very, very different ways than other transactions. What is against the law for a utility is often perfectly legal everywhere else. Be conscientious with those analogies.
 
No, what Apple is doing is asking for 30% on your electricity bill from your power company, because you downloaded an app on Apple store. basically if you sign up using an app, apple wants 30% of what-ever for providing nothing else than the initial download. And you can't add a signup here in your app.

call it a finders fee...like a travel agent that makes reservations for you...or a promoter that brings people into the club....
 
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I feel like Spotify should pull out of the Apple App Store completely. I have a feeling the result would backlash on Apple and not on Spotify. Android owns the mobile market anyways. If anything, it would make more people switch to Android. Anytime you get in between a person and their music, your asking for trouble.

Nothing is stopping them from doing so yet they have not, want to venture a guess as to why?
 
I feel like Spotify should pull out of the Apple App Store completely. I have a feeling the result would backlash on Apple and not on Spotify. Android owns the mobile market anyways. If anything, it would make more people switch to Android. Anytime you get in between a person and their music, your asking for trouble.

I am spotify user and I like it better then Apple Music. But there is absolutely no freaking way I would move to Android just because of Spotify. I will simply live with Apple Music which frankly is not that bad anyway and it will only get better.
 
Spotify are essentially pissed at Apple because Apple can charge the same as them and profit (Spotify are not profitable). So they are attempting through the press to turn the media against Apple in the hopes some power-tripping politician (re FCC) will take their side. Beyond this, Spotify has three options: 1 grow their business to an astronomical size where they can profit. 2 Drop their free tier and try to convert some of those users to paid. 3 Raise the fee on their paid tier. 100M users without profit, something's got to give. The "free" tier longterm may prove unsustainable. As may Spotify's entire business.
 
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No, that's not even it. If you think the terms are unfair, you're welcome to become an Android only app. But iOS users are more likely to pay for things, so obviously having the app there is bringing them a lot of money (not enough, obviously, since Spotify is losing money)
That's what this all boils down to. How much of Spotify's subscriber base is attributable to iOS? I'm still not sure Apple should be taking a cut of a recurring fee especially when they're not providing any service outside of credit card billing (which Spotify would do themselves in the app if they were allowed).
 
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I don't hear Apple complain about the harm that Spotify did to the iTunes Store and music downloads in general..?
Spotify, please, you've never made any money, and you never will. Please stop kicking in the legs those that have the power to create a generous platform for artists and distributors (yeah, you read good: screw record companies, they are to be demolished).

well, they found out that iTunes Store is failing, so now they are strong arming them out with their own service.
 
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Say you wrote a software package that you sold on the web for $29.

You want the same profit, but you want to sell it at Walmart. Walmart takes a 35% cut. Your software must cost around $49 at Walmart to give you the same profits.

Would Walmart have an issue with your software when someone opened the box there was a note that asked you to 'return this to Walmart - save $20 - and buy it over the web for $29'.

This is exactly what Spotify is doing.

Or they could be like Netflix. It costs the same on the web and on the iOS App Store. Netflix is just eating the fee that Apple charges.

But I get the impression that Spotify is struggling financially... so that's not an option.
 
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Yeah right, "we firmly adhere to the principle of treating all developers fairly and equitably", all except themselves. Which is their whole point.

Us users have paid plenty for Apple's hard work (Check Apple's profit on iOS devices), stop ****ing us users over by forcing other app providers out by using unfair competition.

You do understand that NO ONE HAS TO sign up for a subscription to Spotify from the App don't you? You can get the App on iTunes, go to Spotify and sign up and Apple gets nothing.
 
No, what Apple is doing is asking for 30% on your electricity bill from your power company, because you downloaded an app on Apple store. basically if you sign up using an app, apple wants 30% of what-ever for providing nothing else than the initial download. And you can't add a signup here in your app.

This shows a lack of understand of how software is sold today and the whole SaaS model.
 
That's what this all boils down to. How much of Spotify's subscriber base is attributable to iOS? I'm still not sure Apple should be taking a cut of a recurring fee especially when they're not providing any service outside of credit card billing (which Spotify would do themselves in the app if they were allowed).

Then what happens if they take nothing from certain apps and get hit by the "but that's unfair, do it for everyone" EU or DoJ? Then they make nothing on what could be a growing number of apps.
 
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If I were a business, there's no other store I could go into and say, "hey, stock my product for free and you get nothing financially from helping me." Taking a 'cut' is a common business practice. This isn't a charity or non-profit people.
 
No, what Apple is doing is asking for 30% on your electricity bill from your power company, because you downloaded an app on Apple store. basically if you sign up using an app, apple wants 30% of what-ever for providing nothing else than the initial download. And you can't add a signup here in your app.


Actually, no. Apple wants 30% because they provide the means to distribute that app. They charge the same for the subscription as well. However, that amount will be lowered to 15%. You can still sign up for Spotify without iOS. NO one is stopping you or anyone else from buying an iPhone, or any iOS device. You don't have to buy it. However, since many people DO have an iOS device. And, Apple went thru all the trouble it making an App Store that's safe, secure, and touches EVERY iOS device. There is a cost to that, and Apple charges 30 f***ing %. Either pay it and move on or don't and lose out on hundreds of millions of customers.
 
That's what this all boils down to. How much of Spotify's subscriber base is attributable to iOS? I'm still not sure Apple should be taking a cut of a recurring fee especially when they're not providing any service outside of credit card billing (which Spotify would do themselves in the app if they were allowed).
Part of it is that they are providing the access to consumers who would in turn sign up for the service. In a sense it's what referral/finder fees are like.
 
But the Spotify app is free. Once it's downloaded on my phone is it still part of the Apple Store? Can Apple successfully argue that Spotify's 30M paying subs are due to iOS platform?

It's a good part of it, I'm sure. And yes it is still considered part of the App Store. When Spotify releases an update, does it download directly from Spotify's servers? No, it goes through the App Store. Apple should get their cut for providing the avenue to acquire these paying customers, and provide the hosting and distribution of the actual app. Sure Spotify hosts the content, that's why they get the lion's share.

Should it be as high as 30%? Well that's a different story and they are clearly working on ways to make everyone happy having lowered the Apple cut to 15% after a customer has subscribed for a year.
 
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Apple isn't arguing all Spotify's customers are from the App Store, Apple's simply saying Spotify has benefited - in some way - from 160 million downloads via Apple's distribution resources.
But that's what the yearly developer fee is for, no? Seems to me this 30% fee is more about having access to a lucrative customer base than supporting App Store infrastructure and support.
 
No, what Apple is doing is asking for 30% on your electricity bill from your power company, because you downloaded an app on Apple store. basically if you sign up using an app, apple wants 30% of what-ever for providing nothing else than the initial download. And you can't add a signup here in your app.
So...what you're saying is Spotify has the right to complain when it piggybacks on the App Store and expects to pay nothing? You don't think Apple puts in the time, engineers, and cash to make the App Store what it is? How do you think Spotify got so many subscribers?
 
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