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Dutch Market Regulator Bans T-Mobile's 'Free' Streaming Music Service (reuters.com)

Posted by BeauHD on from the cease-and-desist dept.

The Dutch Consumer and Markets regulator ordered T-Mobile to shut down its zero-rated music streaming service because it violates the country's net neutrality rules. T-Mobile launched the Music Freedom service in October, allowing customers to stream music on their mobile devices without it impacting their data plans. Reuters reports: The AFM said the practice, often called "zero rating" is a violation of Dutch net neutrality rules, because it puts rival services such as Spotify at a competitive disadvantage. Deutsche Telekom subsidiary T-Mobile Netherlands, which had introduced the product on Oct. 10, must stop offering it or face penalty of 50,000 euros ($52,000) per day, the AFM said. Zero rating is shaping up as one of the major battlegrounds for European telecommunications companies as they seek ways to attract customers. The Dutch net neutrality law unambiguously forbids the practice, but European Union rules are less clear.

4 of 61 comments (clear)

  1. Re:Sorry for being ignorant... by Pentium100 · · Score: 3, Insightful

    The problem here is not that the streaming service is free, but that using it does not count toward your data cap, while using a competing streaming service (like Spotify) does.

    So yes, you do pay double for using other streaming services.

  2. the problem with zero rating by OrangeTide · · Score: 3, Informative

    It's only zero rated until all the competition is pushed out of business, then the prices go back up.

    --
    “Common sense is not so common.” — Voltaire
  3. T-mobile appealing, continuing practice by hankwang · · Score: 2
    Spotify, mentioned in the summary, is a bad example, since it is one of the many streaming services that is whitelisted. T-mobile allows any streaming provider such as spotify to sign up, without restriction or charges. According to T-mobile, this is allowed by the European law, which takes precedence over Dutch law. So, they are appealing in court and continuing their service for the time being.

    References (Dutch, you'll have to pass it through Google Translate): https://www.t-mobile.nl/datavr... http://newsroom.t-mobile.nl/t-...

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    Avantslash: low-bandwidth mobile slashdot.
  4. Re:NN FTW by thegarbz · · Score: 2

    No it really is in your best interest. These discounts have one purpose and one purpose only, reduce competition and user lockin. Okay maybe two, but the end result is always the same monopolies and less choice and when the goal is finally realised, ... Guess who will start charging again when there is no competition.