Become a MacRumors Supporter for $50/year with no ads, ability to filter front page stories, and private forums.
I understand where you're coming from and can see the validity of that perspective. I just perceive Apple as a distributor role, and know the percentages distributors take. It doesn't make it "right" or anything, it merely justifies it for me.

I just have trouble with that definition.
They are only distributing the free app - just like in the cases of Uber/Lyft

The App isn't the product here - the content is.
That's exclusively hosted and licensed by Spotify
 
Greedy? Apple gets a 30% cut because app creators can make a lot more by being on the App Store than going at it alone. Apple handles all of the backend and payment processing. It's simple. If you don't like Apple's cut don't sell on the App store.

Why should Apple provide Spotify all those services for free when Spotify is making money off of their app? Apple isn't keeping a competitor off of their market place, they're just making them play by the same rules as everyone else that sells on iTunes.
They don't sell it on the App Store. Meanwhile, they can't even promote that they don't sell the premium services in the App Store/
 
  • Like
Reactions: turbineseaplane
EU has no legal power outside it. Most Spotify customers are probably outside of EU.

They're filing where they are based- perhaps just a start.
40% of their paid subscribers are in Europe also..

http://www.businessofapps.com/data/spotify-statistics/
[doublepost=1552778244][/doublepost]Everyone defending Apple here..

What do you think of Apple's policy to not even allow Spotify (or any similar business model) to have a web link or Safari view controller to allow customers to subscribe directly with Spotify that way?
 
  1. Installed app on iOS — seamless.
  2. Authenticated via Facebook (didn't try website) — seamless. But I imagine the website route could have been just as seamless given that they can redirect you right back to the app when done, exactly as the Facebook route did.
  3. Selected some artists and listened to some songs — seamless.
  4. Controlled playback from Apple Watch — seamless.
  5. Accessed the Premium tab. They advertise it, but say that it can't be purchased on this device. They don't even say WHERE you can access it. Links may not be allowed, but surely they could say "Go to our website and purchase it." ... ? Or would doing that break the app store rules?
  6. Attempted to contact Spotify through Facebook — fail. Their auto-bot was just plain annoying.
  7. Attempted to contact Spotify through website — fail. Only references to Twitter, Facebook and Instagram.
  8. Tweeted to them, but based on what I've seen, I don't really expect a reply. They do reply to tweets, but there doesn't seem to be any discussion around their "Play Fair" campaign against Apple.

The whole campaign seems to about the 30% markup that Apple adds during the first year. I do -partially- agree that this is rather high, but then it does drop down to 15%, which is definitely more digestible. But they really want 0% so that their pricing is equal everywhere? Is this their goal?

I don't believe their claims about HomePod or Siri. Those sound very whiny to me, and they are spreading some misinformation, according to Apple.

I do hope their campaign gives Apple some food for thought, and that Apple meets them in the middle. But at the end of the day, I don't sympathize with Spotify at all over how they've handled this. If they were truthful about everything, then it may be different.
 
1. A competitor gets 30% when Spotify chooses to distribute their app on apples platform on the devices they design and manufacture... footing the bill the entire way. SPOTIFY DOES NOT HAVE A RIGHT TO BE ON IOS OR IPHONE. They are paying a price for access to apples customer base.

Incorrect.

30% for the IAP/ first year of subscription.

Spotify pay an annual fee to stay in the App Store, that is completely separate. Please do some more reading.
 
But they really want 0% so that their pricing is equal everywhere

I don't know if I buy that - I think they just want it to be something much more reasonable and they'd likely try to just pass along the difference as a higher subscription fee on iOS, just like Google does right now.

They can't really do that right now as this is a thin margin business and there isn't 30% of margin (or even close) just laying around and being hoarded by Spotify.
 
Totally agree!

What we're going to find out is if the rules they've laid out and their position is now one that needs to be regulated.
[doublepost=1552776990][/doublepost]

Shouldn't even matter.

The recurring nature of a Spotify subscription vs a ride based nature of an Uber/Lyft ride doesn't impact the economics on the cost side for Apple one single bit.

Spotify hosts the content, not Apple.
Spotify licenses the content, not Apple.

To me the real quote is:
"If Apple were in ride sharing, you can bet (a cut of revenue) would happen."

You STILL are not getting the point.

Apple is processing the payment for Spotify, a company who is selling a subscription based service to the consumer through the “store” which Apple has built.

They are taking a cut, 30% like it or not because that is the price they decided was fair for their services. They have nothing to do with Spotify’s backend streaming, severs etc.

When you use Uber and lyft, you are just using the app to set up a meeting point between yourself and another human being so they can transport you to a destination. You pay the driver. You can even pay cash. Apple is not processing the payment. As their terms of service are currently written, they do not require a price of that pie. Apples store, their terms.

Apple has made it easier for developers of all sizes to sell subscription services to consumers by building it into their app SDK. All developers are free to use their own external subscription service.

Is that clear? I’m really struggling to connect with you.

Cheers.
 
  • Like
Reactions: MEJHarrison
Someone better update their Wikipedia page then, because it still says Headquarters: Stockholm, Sweden.
Wikipedia also states Apple to be a multinational corporation, though headquartered in Cupertino. The majority of its products are manufactured in Asia, most notably Foxconn.
Is it really that hard to argue in good faith?

- Founded in Sweden
- Head office still in Sweden
- Legal offices in Luxembourg

However you want to cut it, they're an EU company.
[doublepost=1552760914][/doublepost]

Yep.
Yes, they are hq'd in Stockholm, just as Apple is hq'd in Cupertino. However, like Apple, they truly are a multinational company. A list of their offices:

Stockholm, Sweden
As of 2017, they had failed to be profitable. That may have changed in 2018 when they were offered as an IPO and listed on the NYSE. It would appear that Spotify is bearing down on becoming profitable.
 
Incorrect.

30% for the IAP/ first year of subscription.

Spotify pay an annual fee to stay in the App Store, that is completely separate. Please do some more reading.

Incomplete, not incorrect. I’m not obligated to rehash apples terms of service word for word.

But thanks - your contribution to the troll god will be remembered.
 
When you use Uber and lyft, you are just using the app to set up a meeting point between yourself and another human being so they can transport you to a destination. You pay the driver. You can even pay cash.

?
Where does that happen?

I've never once "paid the driver" in an Uber/Lyft transaction and certainly never in cash.
That sounds like "a Taxi" - haha
 
EU has no legal power outside it. Most Spotify customers are probably outside of EU.

The service (App Store) is provided within the EU jurisdiction.

Regardless of whether the customers are, the service is available in a jurisdiction, and Spotify have opted to file in their home jurisdiction.
 
I just have trouble with that definition.
They are only distributing the free app - just like in the cases of Uber/Lyft

The App isn't the product here - the content is.
That's exclusively hosted and licensed by Spotify

In "some" cases it's free, and Apple gets nothing for those free versions. But otherwise it's not free, and in those cases they are distributing a paid subscription app whose subscriptions are processed / banked by them. It's no mere transaction fee.

Even if we were to isolate that and classify Apple as a "payment processor" and "gateway" ... payment processors / gateways don't charge mere assessment / transaction fees. The percentages vary greatly. Granted, companies like PayPal, and Square attempt to remain competitive, but there are many others that don't attempt to compete with their low rates, nor do they have any reason to.
 
Incomplete, not incorrect. I’m not obligated to rehash apples terms of service word for word.

But thanks - your contribution to the troll god will be remembered.

Actually, it is incorrect.

I quote you, verbatim:

A competitor gets 30% when Spotify chooses to distribute their app on apples platform

That is simply not correct. It is not incomplete, it is factually incorrect. Your key argument of distribution makes it imperative. Else if you have used something else, it would have been incomplete.
 
  • Like
Reactions: turbineseaplane
In "some" cases it's free, and Apple gets nothing for those free versions. But otherwise it's not free, and in those cases they are distributing a subscription app whose subscriptions are processed / banked by them. It's no mere transaction fee.

Even if we were to isolate that and classify Apple as a "payment processor" and "gateway" ... payment processors / gateways don't charge mere assessment / transaction fees. The percentages vary greatly. Granted, companies like PayPal, and Square attempt to remain competitive, but there are many others that don't attempt to compete with their low rates, nor do they have any reason to.

I think you've hit it on the head..
Apple is just doing transactions here and the percentage is the dispute.

For the service of "the subscriptions are processed/banked" by Apple

What fee do you think is fair?

Surely, for that specific type of service here and no hosting of content or licensing (which is where nearly all the real cost is), the fee should be something much much lower than 30%, no?

[doublepost=1552779053][/doublepost]
No, per the agreed upon Developer terms.

Is that a good policy in your opinion?

Is that good for Apple iDevice customers to have it made that much more difficult to subscribe?
 
That is truly a great summary actually!

Cheers

Again, I’m not saying apples business practices are kosher, I just don’t think they are a monopoly.

If you guys really want to trash Apple wait til we hear how their services are joining forces with the likes of the Hollywood elite in 9 days.

.... because anyone deserves millions of dollars to play make believe on film.

Meanwhile police, fireman, nurses etc can’t afford to take their families out to see a movie.

So I veered - sue me.
 
The service (App Store) is provided within the EU jurisdiction.

Regardless of whether the customers are, the service is available in a jurisdiction, and Spotify have opted to file in their home jurisdiction.
Regardless of the outcome that will have no impact on all app stores outside EU.
[doublepost=1552779146][/doublepost]
You wish.

The US has power.
The EU has power.
China has power.
Any EU judgment is only valid within EU.
 
Register on MacRumors! This sidebar will go away, and you'll see fewer ads.