UK competition watchdog puts music streaming in its sights

London: Britain's competition regulator said on Tuesday it planned to launch an investigation into music streaming to see whether the role played by platforms such as Spotify created a fair deal for consumers.

Britain's Competition and Markets Authority has taken an increasingly proactive role in the regulation of digital markets, with investigations already launched into the power wielded by Google, Facebook and Apple in different parts of the digital ecosystem.

It said on Tuesday it would now turn its sights to music streaming which, in Britain, accounts for 80% of music consumption and is dominated by the likes of Spotify, Apple Music, Amazon and YouTube.


It said the sector had changed beyond recognition in the last 10 years.

"A market study will help us to understand these radical changes and build a view as to whether competition in this sector is working well or whether further action needs to be taken," CMA chief executive Andrea Coscelli said.

A market study is used to examine a sector and decide if an intervention is needed. Outcomes can include asking the government to change regulations, encouraging businesses to self-regulate, taking action against firms and a full, in-depth investigation.