Expensive subscriptions for music on the iPhone
Anyone who subscribes to apps on iOS pays significantly more in some cases. Apple is to blame, according to French consumer advocates, who have sued the company.
(Image: Shutterstock/natmac stock)
The draconian App Store rules for in-app purchases could have another costly aftermath for Apple in Europe. French consumer advocates accuse the company of artificially inflating the price of music streaming subscriptions from other providers through its guidelines. A class-action lawsuit is intended to ensure that French iPhone users who have subscribed to or had a streaming service are compensated for the amounts they may have overpaid for years, as the association Consommation, Logement et Cadre de Vie (CLCV) announced on Monday.
Apple – Commission and Gag Order
Since Apple retains a commission of up to 30 percent on in-app purchases of digital content and has long strictly prohibited providers from referring to cheaper subscription options, for example on the web, streaming services gladly pass the costs on to customers. If the user conveniently subscribes in the iOS app, they sometimes pay over 30 percent more - this has been the case in Germany for years, for example with Deezer or YouTube Music. Major streaming services like Spotify removed Apple's in-app purchase interface from their apps a long time ago to avoid paying commissions.
Videos by heise
Apple's gag order for app providers was classified as anti-competitive by the EU Commission last year, and a record fine of 1.8 billion euros was imposed on the company. "For a decade, Apple has abused its dominant position in the market for the distribution of music streaming apps through its App Store," is the reasoning for the hefty fine. Apple has appealed and subsequently emphasized that the decision is "not based on applicable competition law." In parallel, the company relaxed the controversial gag order so that apps can now refer to cheaper offers on the web in the EU. However, if such an external purchase offer is linked in the app, additional conditions apply, and Apple continues to demand a commission. The EU Commission is still investigating this matter as well.
Consumer Advocates: Double Damage for Customers
Apple's rules have harmed not only the providers but also the end customers, argue the consumer advocates. These have suffered financial damage due to the monthly surcharges, as well as intangible damage because Apple blocks information and thus ultimately restricts freedom of choice. All French Apple users who have subscribed to one or more of the streaming services Deezer, Spotify, YouTube Music, Tidal, or Qobuz in the iOS app between 2011 and 2025 should therefore receive compensation, according to the demand.
(lbe)
