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App Store: between Apple, Spotify and Epic Games, the standoff continues

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Apple may have thought it would calm things down by easing some restrictions and adding two new fees to the App Store. But that was without counting on the determination of its opponents. Spotify didn't mince its words, calling the new plan “unacceptable” and accusing Apple of ignoring the DMA's fundamental requirements. Meanwhile, Epic Games CEO Tim Sweeney has reported a new case of “malicious compliance” involving “absurd fees”.

Recall that the European Commission had already deemed Apple's first attempt to comply with the DMA to be insufficient. It was investigating in particular the proposed new fee structure, which included fees for using Apple's technology in the development of mobile applications.

Apple's new rules now allow developers to create links to their websites from their iOS applications without adhering to the DMA rules. But beware, they will still have to pay Apple. Out with the technology fees, in with two new taxes: an “initial acquisition fee” and a “store service fee”.

A complex system that raises questions

Apple's new pricing system is so convoluted that even Spotify is struggling to understand all its intricacies.The initial acquisition fee is akin to a commission for connecting users to the app through the App Store. It applies for the first 12 months. The store service fee, on the other hand, funds the operations of the App Store and is billed on a fixed 12-month basis.

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This fee is in addition to the existing fees for developers who agree to Apple's new DMA terms. An accumulation that is sure to make some people grind their teeth.

Spotify's reaction is unequivocal. The Swedish company has slammed a proposal that is “deliberately confusing” and denounced fees of up to 25% for simple communication with users. It is calling on the European Commission to speed up its investigation and impose daily fines.

Epic Games is even more virulent. Its CEO, Tim Sweeney, calls the new revisions illegal. He points to a 15% tax imposed on users migrating to competing stores, as well as monitoring trade on these platforms. The legal and media battle has only just begun. Apple, for its part, remains discreet about these accusations. The American giant will undoubtedly have to explain itself to the European Commission in the coming weeks.

The stakes are high since the decisions of The EU will define the rules of the game for the European digital economy in the coming years. Between consumer protection, innovation and fair remuneration of stakeholders, the equation promises to be complex to resolve.

  • Apple revises its DMA compliance plan, angering Spotify and Epic Games.
  • Apple's new pricing system is considered complex and potentially illegal by its critics.
  • The European Commission is called upon to intervene quickly in this conflict

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Teilor Stone

By Teilor Stone

Teilor Stone has been a reporter on the news desk since 2013. Before that she wrote about young adolescence and family dynamics for Styles and was the legal affairs correspondent for the Metro desk. Before joining Thesaxon , Teilor Stone worked as a staff writer at the Village Voice and a freelancer for Newsday, The Wall Street Journal, GQ and Mirabella. To get in touch, contact me through my teilor@nizhtimes.com 1-800-268-7116