Categories Earnings, LATEST, Technology

Apple Music hits a high note after Shazam buyout gets EU nod

Apple (AAPL) this week received the green signal from European regulators to go ahead with its planned acquisition of Shazam, the UK-based mobile app that recognizes music and TV programs, with the European Commission approving the deal after what was an extensive review. The financial terms of the deal, however, are not yet known.

The focus of the investigation was antitrust compliance, which according to the agency is a cause for concern in the rapidly changing digital world where vast volumes of commercially sensitive data are processed every day.

The focus of the extensive investigation by the European Commision was was antitrust compliance

“After thoroughly analyzing Shazam’s user and music data, we found that their acquisition by Apple would not reduce competition in the digital music streaming market,” stated a communiqué from the Commission. It said the combination would not result in Apple gaining any undue advantage over its peers as Shazam’s importance as an entry point to other music streaming services is limited.

While the app is already familiar to users the tech giant’s digital assistant Siri, the proposed acquisition will allow the company to use the software in its full potential to better serve the Apple Music customers, while also trying to keep pace with closest rival and industry leader Spotify (SPOT). Earlier, the deal had met with opposition from the streaming industry which claimed it would be a threat to healthy competition.

Apple to launch three new iPhone X designs

Apple’s tryst with smart home devices has been paying off well, and the company is currently ramping up its prowess in that area. Established in 2002, Shazam features a unique software that identifies music by just being near the source, with all the relevant information including the name of the album, artist and the creator.

A separate report revealed that Apple is adopting measures to launch a dedicated app for law enforcement agencies in America to seek information about users officially during investigations. According to a letter sent by the company to the Senate, the move is part of its initiatives to make it easier for the police to crack criminal cases.

Apple shares, which reached a fresh peak earlier this year, slid more than 2% this week and ended the last trading session down 2%. The stock gained about 30% since the beginning of the year and 41% over the past twelve months.

Now, Amazon joins Apple in the $1-trillion club

Most Popular

Electronic Arts (EA) Q4 earnings drop and miss estimates; revenue down 3%

Video game company Electronic Arts, Inc. (NASDAQ: EA) reported lower earnings and revenues for the fourth quarter of 2021. Earnings also missed analysts' forecast. During the March quarter, net bookings

What lies in store for Tyson Foods (TSN) this year?

Shares of Tyson Foods Inc. (NYSE: TSN) were in green territory during afternoon hours on Tuesday. The stock has gained 32% over the past 12 months and 23% since the

Virgin Galactic (SPCE) fails to impress market amid looming uncertainty

Space tourism company Virgin Galactic Holdings, Inc. (NYSE: SPCE) ended the first quarter of 2021 without generating revenue and continued the losing streak even as uncertainty over its test flight

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top