Competition is inevitable in all industries, and the Spotify CEO has a thing or two to say about some big players in the industry, namely Apple and Google. When it comes to competition in music streaming, Daniel Ek, the Spotify CEO, says Apple and Google are the referees. But unlike other referees, Apple and Google also play in the game they are the referees of.
This is not good for the competition, as these two firms make rules that cripple the competition. These rules will help build the businesses of the big tech firms, hence strengthening their dominance. To curb this monopoly-ish move, Daniel is calling on lawmakers in the United Kingdom to pass a bill that’ll help the competition grow.
The bill in question is the Digital Markets, Competition, and Consumers Bill (DMCC). At the moment, this bill is passing its development stages but wields the ability to level the playing field for better competition. Spotify’s CEO believes this bill holds the necessary ingredients to end Apple and Google’s monopoly.
Spotify CEO says Apple and Google are monopolistic by playing in the game they’re the referees of
You might be asking what The Digital Markets, Competition, and Consumers Bill (DMCC) is all about. Well, this bill aims to provide regulations for the competition in digital markets and strengthen some competition laws. If it becomes a law, this bill will police certain companies attempting to control a competitive industry for their business gain.
At the moment, this bill is in the report stage at the United Kingdom House of Commons. It still needs to go through the House of Lords before it meets its final stage and then becomes a law. Daniel Ek is urging lawmakers to do everything in their power to pass this bill and bring an end to Apple and Google’s dominance.
Spotify is under serious competition from Apple Music and YouTube Music. The music streaming platform’s CEO argues that both Apple and Google make rules that make competition in this space difficult. These companies control a massive consumer base, giving them the ability to boss the competition.
Just like referees in a game, Apple and Google make the rules for Spotify and the likes to follow. This gives them the upper hand since they can bend these rules to suit their business. The DMCC bill, if passed into law, will set rules for all competing companies to abide by as well as penalties for breaking these set rules.
With this in place, Daniel Ek and Spotify will be able to compete more freely in the music streaming space. Apple and Google, on their part, will get to become regular players like the rest of the competition and not referees. In the coming months, the fate of this bill will become known to the Spotify CEO as well as netizens.