Apple hit with €62 million EU class action for unfair charges on music
Pan-European consumer group Euroconsumers is today (18 September) launching a coordinated class action in Belgium, Italy, Spain, and Portugal against tech giant Apple for imposing unfair charges on non-Apple music streaming services though its app store.
The company applied restrictions on app developers preventing them from using cheaper music subscription services outside of the app, a European Commission investigation found earlier this year.
Since 2013, iPhone and iPad users paid up to 30% extra for non-Apple music streaming subscriptions via the App Store – including Spotify, YouTube Music and SoundCloud. Spotify, for example, increased its monthly subscription price from €9.99 to €12.99 for iOS users to cover Apple’s commission fees.
Euroconsumers’ class action aims to recover some €62 million for over 500,000 victims in the four countries alone.
Consumers who used Apple’s in-app payment system for music streaming services could be eligible to receive around €3 for each month they paid inflated prices, the organisation said.
“Now that the European Commission has condemned and fined Apple for this behaviour, it’s time for Apple to make things right for consumers. This class action is about giving power back to people, making sure Apple is held accountable for the harm caused and standing up for a fair digital market,” said Els Bruggeman, Head of Policy and Enforcement at Euroconsumers.
The Commission in March issued a €1.8 billion penalty for Apple’s anti-competitive practices. The Big Tech company was ordered to remove the unfair conditions and refrain from this in the future.
The EU executive started probing the company after Swedish music streaming company Spotify filed a formal complaint in 2019.
Apple said in a statement in response to the fine that it will appeal, claiming that it helped “markets thrive.”
Apple has been contacted for a response.