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I think this is a very compelling case against Apple, and this is a perfect example of lies, damn lies, and statistics. Spotify's pie is: $7,631 Apple's
by hayst4ck 3y ago
I think this is a very compelling case against Apple, and this is a perfect example of lies, damn lies, and statistics.
Spotify's pie is: $7,631
Apple's pie is: $10,711
Spotify's pie is 28% smaller than Apple's which is suspiciously close to the app store fee.
The way this information is displayed feels very dishonest to me. The display implies Apple is better for artists, but the reality this displays when analyzed for more than how it is presented is that apple is using anti-competitive practices to unfairly offer artists a better deal.
Both pies being displayed the same size, despite that one is physically larger, hides relevant information.
I think owning the app store and having an app that competes with other apps on it is a clear and odious conflict of interest. If that were the main argument against apple, I would be a strong supporter of Apple targeted regulation. Apple's cut is fine, being able to take that cut directly from your competition offering you a clear and unfair competitive advantage is not.
- votepaunchy 3y agoThere is nothing here about App Store fees. Spotify has a smaller pie due to their millions of unpaid listeners, whereas Apple only has free trials.
- CharlesW 3y ago> Spotify has a smaller pie due to their millions of unpaid listeners… FWIW, in that case Spotify is still paid, just by advertisers.
- CharlesW 3y ago> The way this information is displayed feels very dishonest to me. There's definitely some weirdness here. For example, the "1M Spotify Streams" pie obfuscates that Spotify's share is 50% by making it look closer to 37%. > Apple's cut is fine, being able to take that cut directly from your competition offering you a clear and unfair competitive advantage is not. Spotify has never paid Apple a penny. In 2016, Spotify turned off that feature. Before that, they passed along that cost to customers who subscribed via App Store. There's zero evidence that Spotify handed Apple a competitive advantage by preventing their customers from subscribing via App Store. As Variety noted in 2019, less than 1% of Spotify subscribers signed up via App Store. https://variety.com/2019/digital/news/apple-spotify-fees-subscribers-app-store-tax-complaint-1203251621/ https://variety.com/2019/digital/news/apple-spotify-fees-sub... > Spotify's pie is 28% smaller than Apple's which is suspiciously close to the app store fee. As the same Variety article notes, Apple's cut of Spotify subscription fees attributable to App Store was only 15%. And again, Spotify just passed this cost directly to their customers who subscribed via App Store, just as X does today.
- foogazi 3y ago> apple is using anti-competitive practices to unfairly offer artists a better deal. Exactly - Apple is paying both sides of the fence here Competing with Spotify and at the same time having the boot on their neck Unfortunately this is the capitalist curse/destiny. A computer company is now making Movies, a Music streaming app and building cars They can buy Disney and knock over Netflix - there are no bounds It’s all about the TAM