Fortune500 News Hubb
Advertisement Banner
  • Home
  • Fortune 500 News
  • Business News
  • Contact
No Result
View All Result
  • Home
  • Fortune 500 News
  • Business News
  • Contact
No Result
View All Result
Wellnessnewshubb
No Result
View All Result
Home Business News

Why Investors Cranked Spotify Stock Higher Today

admin by admin
December 13, 2022
in Business News


What happened

A report indicated that the companies behind popular mobile apps helped push Spotify (SPOT 1.54%) stock higher on Tuesday. The share price of the music service operator, whose app is enduringly popular on mobile platforms, rose by 1.5% on the day, more than double the percentage rate gain of the S&P 500 index.

So what

In an article published this mid-afternoon and updated shortly before market close, Bloomberg wrote that Apple (AAPL 0.68%) is gearing up to allow third-party app stores on its devices. Citing “people familiar with the matter,” the news agency said this is being done as part of a wider effort by Apple to comply with upcoming changes in the European Union’s Digital Markets Act.

Currently, Apple has a tight grip on its App Store. It is the only company-authorized channel through which iPhone and iPad users can buy and download apps. Third-party developers have complained vociferously at times about this, with some characterizing it as a monopolistic practice. The tech giant has also come under fire for charging a standard, rather hefty 30% fee for every sale effected through the platform.

If enacted, Apple’s change would undoubtedly affect some of the top outside app developers, with Spotify being one of them. This is compounded by the fact that the highest proportion (33%) of the Sweden-headquartered company’s monthly average users are based on the continent.

Now what

Europe is also a crucial market for Apple, so it’s important to keep regulators there sweet. In the company’s last fiscal year, it generated $95 billion from the continent’s consumers, which comprised nearly one-quarter of the total. It also made the region the second-most significant for Apple, next to the U.S. in terms of sales.

Eric Volkman has positions in Apple. The Motley Fool has positions in and recommends Apple and Spotify Technology. The Motley Fool recommends the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy.



Source link

Previous Post

Amex Platinum Vs Chase Sapphire Reserve: Card Comparison 2022

Next Post

Live news: Bankman-Fried denied bail in Bahamas and remanded in custody

Next Post

Live news: Bankman-Fried denied bail in Bahamas and remanded in custody

Recommended

Top European chip companies seek stability amid US-China dispute

3 months ago

‘There is a lot of pent-up demand’: world awaits return of Chinese tourists

1 month ago

Credits, Freebies to Help You Save

3 months ago

Mark Zuckerberg Embraces New Role As Meta Chopper-in-Chief

1 week ago

154+ Best Black Friday Deals 2022, From TVs to Mattresses

3 months ago

Amazon Reportedly Laying Off More Than 17,000 – Its Largest Cut Ever

1 month ago

© 2022 Fortune500 News Hubb All rights reserved.

Use of these names, logos, and brands does not imply endorsement unless specified. By using this site, you agree to the Privacy Policy and Terms & Conditions.

Navigate Site

  • Home
  • Fortune 500 News
  • Business News
  • Contact

Newsletter Sign Up.

No Result
View All Result
  • Home
  • Fortune 500 News
  • Business News
  • Contact

© 2022 Fortune500 News Hubb All rights reserved.