Italy fines Apple for allegedly abusing its dominant position

(MENAFN) Italy’s competition watchdog has imposed a hefty fine on Apple, totaling $115 million, accusing the tech giant of misusing its dominant role in the mobile application sector.

The authority claimed that Apple’s App Tracking Transparency (ATT) framework restricted fair competition by enforcing onerous conditions on developers of third-party apps. Introduced in 2021, ATT requires developers to gain explicit consent from users before collecting or linking data for advertising purposes.

Investigators determined that Apple’s current setup forced developers to request user consent twice for the same data usage, a process deemed inconsistent with privacy legislation. The authority highlighted that this “double consent” system negatively affects developers, advertisers, and advertising platforms by limiting access to data crucial for personalized marketing.

“The terms of the ATT policy are imposed unilaterally and harm the interests of Apple’s commercial partners,” the watchdog stated. It added that the rules are “disproportionate” to Apple’s stated privacy goals and that the same level of user protection could have been achieved with a single consent step.

The probe, conducted in coordination with European regulators and national data protection authorities, concluded that Apple enjoys a “super-dominant” position in the iOS app distribution market. The authority determined that the company violated EU law, specifically Article 102 of the Treaty on the Functioning of the EU, which forbids the abuse of market dominance.

Apple, which operates the App Store globally, has previously defended the ATT system as a critical tool to safeguard user privacy, maintaining that its policies are essential for protecting consumers.

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