Deezer Supports EU’s Landmark Apple Fine but Demands Stronger DMA Enforcement
Music streaming giant Deezer has joined Spotify in applauding the European Union’s €1.84 billion antitrust fine against Apple for anti-competitive practices in the music streaming market. However, the company warns that Apple’s response to the Digital Markets Act (DMA) represents a “deceptive” attempt to circumvent regulations.
Cautious Praise for EU Action
In an official statement, Deezer CEO Jeronimo Folgueira acknowledged the fine as a positive step:
“It’s very positive to see that the EU is taking action against Apple and is showing readiness to firmly sanction anti-competitive practices.”
However, Folgueira urged the European Commission to scrutinize Apple’s proposed DMA compliance measures, arguing they fail to meet the regulation’s intent.
Why Developers Are Calling Apple’s DMA Terms Problematic
Apple’s January 2024 DMA changes introduced:
- Alternative app distribution outside the App Store
- A revised commission structure
- A controversial “Core Technology Fee” of €0.50 per first annual app install after 1 million downloads
Deezer contends these changes:
- Maintain Apple’s revenue dominance through new fees
- Make scaling app businesses prohibitively expensive
- Contradict the DMA’s goal of creating fair competition
Industry-Wide Backlash
Deezer recently joined Spotify, Epic Games, Proton, and 34 other companies in an open letter accusing Apple of “making a mockery” of the DMA. The coalition urged the EC to take “swift, timely, and decisive action.”
Limited Developer Adoption of Apple’s New Terms
Few major developers have embraced Apple’s DMA terms:
- MacPaw (Setapp) announced adoption last week
- Mobivention plans an alternative B2B/B2C iOS app marketplace
Notable holdouts include:
- Spotify
- Epic Games
- Meta
- Mozilla
- Microsoft
Mark Zuckerberg recently called Apple’s rules “so onerous” he doubts any developer will opt in.
The Road Ahead
As the March 7 DMA compliance deadline approaches, all eyes remain on:
- Whether the EC will demand further concessions from Apple
- If more developers will risk the new fee structure
- How these changes will ultimately affect app pricing and availability for EU consumers
This developing story represents a critical test case for tech regulation in the digital age.
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