Other policies prohibit using the app to inform consumers that they can buy directly from the company’s website, or offering variable pricing (say, a discounted family plan or a student plan), sources say. The service costs $9.99 a month for individuals.
Advertisement
The regulators are also seeking information from Spotify and other music streaming services on the restrictions Apple places on apps offered through the store, Re/code said, citing people familiar with the situation.
Apple shares were down 4 cents at $114.84 in early afternoon. It will be interesting to see out of 11 million how many people will opt for the paid subscription.
“It’s respectable, but it would be more respectable if they were a new service that was just starting and people had to trust them”, said Ted Cohen, a former music executive who is now managing partner of TAG Strategic, a digital entertainment consultancy.
The investigation hoped to discern whether or not Apple’s deals with record labels and streaming services worked against industry rivals. Perhaps a partially curated TV model a’la Apple Music is not only necessary, but an exciting feature that might help differentiate Apple’s rumored TV service when it happens to launch.
“I think it’s unlikely that they are going to dominate this category like they dominated the download business”, he said.
Smart lets you enjoy Apple Music and turn your music lifestyle up a notch through Smart Money, a fast, convenient and secure means to pay for your Apple Music membership as well as purchases on the App Store and iTunes on your phone – even without a credit card.
Apple set a high-water mark for App Store customers in China in July.
Advertisement
We link growing Chinese App Store growth to Apple’s iPhone 6 and the 6 Plus, which was the company’s first Phablet and was a hit in the Chinese market on the basis of consumer preference.
