Apple has been hit with a hefty 150 million euro ($162.4 million) fine by French antitrust regulators for allegedly abusing its dominant position in mobile app advertising through its App Tracking Transparency (ATT) tool. This marks the first time any antitrust authority has penalized Apple over the controversial privacy feature.
The ATT tool, introduced in 2021, allows iPhone and iPad users to decide which apps can track their activity across other companies’ apps and websites. While Apple touts it as a move to protect user privacy, critics argue that it gives the tech giant an unfair advantage in the advertising market.
“While the objective of protecting personal data is commendable, the way ATT is implemented is neither necessary nor proportionate,” the French Competition Authority stated. “It particularly penalizes smaller publishers and advertisers who rely on third-party data to fund their businesses.”
Digital advertising and mobile gaming companies have complained that the ATT tool makes it more difficult and expensive to reach potential customers on Apple’s platforms. Several associations representing online advertisers and publishers filed complaints, triggering the investigation covering the period from 2021 to 2023.
Apple expressed disappointment with the decision but noted that the regulator has not required any specific changes to the ATT feature. “We believe user privacy is a fundamental right, and we will continue to ensure users can choose what data they share and with whom,” the company said in a statement.
Benoît Cœuré, head of the French Competition Authority, emphasized that the ruling is not politically motivated. “We apply competition law in an apolitical manner,” he said. “In terms of antitrust, there is no controversy between the United States and Europe on how we apply the law.”
The compliance process may take some time, as Apple awaits rulings from regulators in Germany, Italy, Poland, and Romania, who are also investigating the ATT tool.
The decision is hailed as a significant victory for advertisers. Alliance Digitale, the Syndicat des Régies Internet (SRI), the Union des Entreprises de Conseil et d’Achat Média (UDECAM), and the Groupement des Éditeurs de Services en Ligne, who lodged the complaints, welcomed the fine.
This development underscores the ongoing tension between tech giants and regulators worldwide, as authorities grapple with balancing user privacy concerns and maintaining fair competition in digital markets.
