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Is Apple undermining Spotify's U.S. launch?
I don't pay too much attention to Apple's App Store antics. I don't know the ins and outs of why they choose to approve App A and not App B. However, I do know that I'm a little surprised to see apps like Mog, Slacker, Rhapsody, and Spotify making their way onto the App Store.Why? Because it just seems odd that they'd want to allow those apps (which allow users to store tracks offline) to wrestle away precious dollars that they'd no doubt prefer to see spent on iTunes downloads.
I'm further confused by Greg Sandoval's report on CNet that Apple is poisoning the well in the U.S., doing its best to convince record labels that Spotify's arrival on American soil would further undermine download sales. Spotify, of course, has already missed two launch deadlines in the U.S., and things aren't looking good for the latest date of December 31st.
With Apple voicing its concern to labels -- and those same labels already disenchanted with similar services -- it could be a very steep uphill climb for Spotify.
That raises the question: If Apple is really helping to steer the record industry away from apps like Spotify, how much longer will we see them on the App Store? Until Apple releases their own streaming service?
Comments
3
Subscribe to commentsberrorOct 8th 2010 11:09AM
Seems like they're already working on a streaming service!
http://www.macrumors.com/2010/10/08/apple-reportedly-working-on-itunes-music-subscription-service/
Too bad they're getting in the way of Spotify so much.
I live in The Netherlands, so I'm able to use Spotify (I'm a subscriber), but I'd love to see more growth on the label side.
evman182Oct 8th 2010 11:16AM
Why would Apple stop the app when they can practically bully the labels out of working with Spotify. It costs Spotify money to create and maintain the app, and being a competitor, why would Apple stop them from wasting money.
DavidOct 8th 2010 6:16PM
Not interfering via the App Store keeps them out of the sights of antitrust regulators. But there's nothing anti-competitive about convincing your partners that it's in their best interest not to partner up with your competitor, as long as you're not using your dominant position to do so. It's not like Apple's saying "I don't know...if you allow Spotify to use your songs we might have to renegotiate our contract..." so it's perfectly legal. Evil, but legal.