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Oscar Hoole@theoscarhoole · Dec 28, 2024

In 2015, Apple tried to CRUSH Spotify. • Threatened to remove them from App Store • Demanded 30% of all revenue •…

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Summary

Spotify fought back against Apple's anticompetitive App Store practices by filing EU antitrust complaints and publicly exposing Apple's tactics, ultimately winning regulatory support and growing to 489M users—5.5x larger than Apple Music—by turning the tech giant's dominance into a weakness.

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  1. #1

    In 2015, Apple tried to CRUSH Spotify. • Threatened to remove them from App Store • Demanded 30% of all revenue • Blocked their app updates But Spotify's response was genius. Here's how a Swedish startup outsmarted the world's biggest company 🧵

  2. #2

    2006: Daniel Ek started Spotify in Sweden. The music industry was dying: • Piracy killed 50% of revenues • CD sales collapsed • iTunes dominated legal downloads Everyone said streaming would fail.

  3. #3

    By 2015, Spotify was growing fast: • 75M active users • Present in 58 countries • Worth $8.4B Then Apple decided to enter music streaming. Their weapon? Apple Music. Their advantage? Control of the App Store.

  4. #4

    Apple's strategy was brutal: 1. Charged 30% fee on all subscriptions 2. Banned links to external payment options 3. Blocked app updates mentioning prices 4. Pre-installed Apple Music on 1B+ devices They were choking Spotify slowly.

  5. #5

    The numbers were devastating: • Spotify: $12.99 on iOS (to cover Apple's 30%) • Spotify: $9.99 everywhere else • Apple Music: $9.99 everywhere Apple could undercut Spotify using Spotify's own money. Pure genius. Pure evil.

  6. #6

    But then Ek made a shocking move: Instead of surrendering, he went nuclear. Filed an antitrust complaint with the EU. Apple's response? "Spotify wants all the benefits of a free app without being free."

  7. #7

    Spotify launched TimeToPlayFair.com Exposed Apple's practices to the world: • Rejected app updates 12 times • Blocked Spotify from HomePod • Prevented Siri integration • Restricted user communications The tech world was stunned by their boldness.

  8. #8

    The war escalated: • EU opened formal investigation • US Congress questioned Apple • Other developers joined the fight • South Korea changed their laws David was winning against Goliath.

  9. #9

    2021: The first victory. Apple forced to allow external payment links. Their 30% tax started crumbling. But here's the crazy part: During this entire war, Spotify kept growing:

  10. #10

    The growth was insane: 2015: 75M users 2017: 140M users 2019: 248M users 2021: 365M users 2023: 489M users While fighting the world's biggest company, they added 414M users. How?

  11. #11

    Ek's strategy was brilliant: 1. Made the fight public 2. United other developers 3. Focused on user experience 4. Kept innovating (podcasts, audiobooks) 5. Never backed down They turned Apple's pressure into free marketing.

  12. #12

    Today: • Spotify: 489M users • Apple Music: 88M users The 'little Swedish startup' is 5.5x bigger than Apple Music. They didn't just survive - they dominated.

  13. #13

    The lesson is clear: When a giant tries to crush you, don't hide. Fight in public. Build alliances. Turn their size into a weakness. David beats Goliath by changing the rules of the game.

  14. #14

    Founders: Your biggest competitor's strength can become their weakness. Spotify turned Apple's dominance into a story about unfairness - and won. Sometimes the best defense is a bold offense. Follow @theoscarhoole for more threads on tech wars and comebacks

  15. #15

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  16. #16

    If you enjoyed this thread, you will LOVE this one:

    Oscar Hoole@theoscarhoole · Dec 29, 2024

    In 1978, a 15-year-old boy was publicly humiliated. Cut from his high school basketball team. Too short. Too weak. Not good enough. That boy became the greatest athlete in history. Here's how Michael Jordan turned rejection into 6 NBA championships: 🧵

  17. #17

    From a rejected English teacher earning $12/month. To building Alibaba into a $500B empire. Jack Ma proved that... Crazy dreams + relentless execution = unstoppable success READ THIS:

    Oscar Hoole@theoscarhoole · Dec 30, 2024

    He was REJECTED by 100 banks. Lived in a tiny apartment with 17 people. Failed the college entrance exam 3 times. Everyone called his idea 'impossible.' Today, Jack Ma's Alibaba is worth $500B. The untold story of China's greatest entrepreneur: 🧵