CUPERTINO (dpa-AFX) - Italy's competition authority has fined Apple (AAPL) and two of its units nearly €100 million for allegedly abusing their dominant position in the mobile app market through the App Store.
The Italian antitrust watchdog said Apple holds near-total control over access to third-party app developers and violated European competition rules by imposing restrictive privacy requirements. The investigation, launched in May 2023, focused on changes introduced in April 2021 under Apple's App Tracking Transparency framework.
According to the regulator, Apple forced third-party developers to seek explicit user consent for data collection and ad tracking via the ATT prompt, while applying rules that were imposed unilaterally and deemed disproportionate to the stated goal of protecting privacy. The authority said developers were also required to duplicate consent requests for the same purpose, creating additional hurdles.
The watchdog said the process harmed Apple's business partners, failed to comply with privacy regulations, and went beyond what was necessary to safeguard user data. It added that Apple's dominance in the App Store left developers with little choice but to comply.
Apple said it strongly disagrees with the decision and argued that the ruling overlooks the privacy protections provided by ATT. The company said the framework was designed to give users control over cross-app tracking and applies equally to all developers, including Apple itself. The company said it plans to appeal and will continue to defend its privacy standards.
The Italian regulator said the investigation was complex and conducted in coordination with the European Commission and other international antitrust authorities.
AAPL currently trades at $270.86, or 1.02% lower on the NasdaqGS.
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