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August 10, 2015

Apple Music cleared of squeezing competition in Europe

EC failed to find an evidence of illegal activity.

By CBR Staff Writer

The European Commission (EC) is reported to have been unsuccessful in identifying any evidence of illegal activity in Apple’s music streaming agreements.

As part of its investigation, which was launched in April this year, the EC sent questionnaires to various record labels seeking data on their licensing negotiations with Apple.

Citing people familiar with the matter, Re/code reported that the investigation failed to find evidence of any illegal activity, but the European Union (EU) will continue to monitor the market,

The regulators are also seeking data from Spotify and other music streaming services on the conditions Apple puts on apps offered via the store.

The probe focused on whether the record labels conspired with each another or with Apple on its new streaming music service, hurting competitors.

The publication reported that the investigation examined whether the music industry executives and Apple were working to hold back free offerings from services such as Spotify.

Apple is also being examined by the US Federal Trade Commission whether the company violates antitrust laws on its treatment of rival apps in its store.

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The iPhone maker takes a 30% cut on purchases made via its App Store, which include streaming subscriptions.

Last week, Apple said that over 11 million people have signed up for a trial of its music streaming service since its launch on 30 June.

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