Major Labels

Apple Music, Labels Did Not Collude To End Freemium, Says European Union Commission

image from krazlaw.comAn EU probe, rumored to be motivated by Spotify, found no evidence that Apple Music and the major record labels conspired to end freemium music.  Unlike Spotify, Apple Music does not offer a free music option. 


Apple MusicAn European Commission probe into possible collusion between Apple and the major record labels to end the practice of freemium music found nothing, four sources tell re/code.  The EU regulatory body reportedly will continue to monitor the situation. 

But a probe into restrictions and fees in Apple's popular app store, remains ongoing.

Apple's practice of charging 30% for all purchases withing the store has drawn particular criticism.  A 30% fee effectively means that Spotify, Rdio and others charge 30% more for subscriptions through Apple than they do direct sales. That disparity has become particularly damaging to competition now that Apple has launched its own competing music service. 

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