The Competition Board has launched an investigation into online music streaming platform Spotify over allegations of discrimination and predatory pricing. The Board launched a preliminary investigation last July to determine whether the platform’s activities in Turkey complied with the Law on the Protection of Competition. Following this investigation, the official investigation process began.
Discrimination and Predatory Pricing Investigation into Spotify
The first issue the investigation focuses on is discrimination. The Board is examining whether Spotify treats rights holders equally in its algorithms for adding songs to playlists, ranking, and visibility. If it is found that the platform provides advantages to certain companies or artists, this is considered anticompetitive.
The second allegation concerns Spotify’s pricing policies in Turkey. It is investigating whether the platform’s subscription fees are set excessively low to discourage competitors from operating in the market. This is considered predatory pricing, which could negatively impact competition in the sector in the long term.
At the Spotify Music Forward conference, Minister of Culture and Tourism Ersoy stated that measures such as transparency in editorial lists and algorithms and the establishment of an official representative in the country should be taken.
Deputy Minister of Culture and Tourism Batuhan Mumcu also stated that he met with Spotify officials at the same conference and that they are collaborating with the platform to strengthen Turkey’s music industry internationally and protect artists’ rights. Mumcu emphasized the importance of digital platforms acting transparently and sensitively to social values.
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