Italian Antitrust Authority Fines Apple €98.6M Over App Tracking Transparency Practices

Apple Fined €98.6 Million by Italian Antitrust Authority Over App Tracking Transparency Practices

In a significant development, Italy’s competition authority, the Autorità Garante della Concorrenza e del Mercato (AGCM), has imposed a €98.6 million ($116 million) fine on Apple. The penalty addresses concerns over Apple’s App Tracking Transparency (ATT) feature, introduced in April 2021, which has been scrutinized for potentially anti-competitive behavior.

Background on App Tracking Transparency

Apple’s ATT framework was designed to enhance user privacy by requiring third-party app developers to obtain explicit consent before tracking user data for advertising purposes. This initiative was part of Apple’s broader commitment to user privacy, aiming to provide users with greater control over their personal information.

However, the implementation of ATT has sparked controversy. Critics argue that while third-party apps are subjected to stringent consent requirements, Apple’s own applications and services are not held to the same standards. This disparity has led to allegations that Apple is leveraging its platform to favor its services over competitors, potentially stifling competition in the digital advertising space.

Details of the Italian Antitrust Fine

The AGCM’s investigation concluded that Apple’s ATT policies constitute an abuse of a dominant position. The authority highlighted that the ATT framework imposes unilateral and disproportionate measures on third-party developers, which could harm their commercial interests. Specifically, the AGCM noted that the ATT prompt does not align with the General Data Protection Regulation (GDPR) consent requirements, compelling developers to seek user consent twice for the same purpose.

The AGCM stated:

> The Authority’s findings confirmed the restrictive nature – from a competition-law perspective – of the App Tracking Transparency (‘ATT’) policy… In particular, third-party app developers are required to obtain specific consent for the collection and linking of data for advertising purposes through Apple’s ATT prompt. However, such prompt does not meet privacy legislation requirements, forcing developers to double the consent request for the same purpose.

This ruling underscores the AGCM’s position that while enhancing user privacy is a legitimate objective, the methods employed by Apple through ATT are excessively burdensome for developers and disproportionate to the intended privacy protection goals.

Apple’s Response and Broader Implications

Apple has consistently defended its ATT framework, asserting that it applies equally to all developers, including itself. The company maintains that its services are designed to minimize data collection and that ATT is a necessary tool to protect user privacy.

In response to similar allegations in other jurisdictions, Apple has argued that its practices are in line with privacy laws and that any data collection is conducted with user consent and for legitimate purposes. The company has also emphasized that ATT has been well-received by users and privacy advocates, highlighting its commitment to transparency and user control over personal data.

The fine from the AGCM adds to a series of regulatory challenges Apple has faced globally concerning its App Store policies and data privacy practices. For instance, in April 2025, the European Union fined Apple €500 million under the Digital Markets Act for anti-steering provisions in the App Store. These provisions restricted developers from informing users about alternative purchasing options outside the App Store, a practice deemed anti-competitive by the EU.

Furthermore, in March 2024, Apple was fined $2 billion by the EU Commission for abusive App Store rules that allegedly hindered competition in the music streaming market. The commission found that Apple’s anti-steering provisions prevented services like Spotify from informing users about subscription options available outside the App Store, thereby limiting consumer choice and maintaining Apple’s dominance in the market.

The Ongoing Debate Over App Tracking Transparency

The controversy surrounding ATT is emblematic of the broader debate over user privacy and competition in the digital marketplace. While Apple positions itself as a champion of user privacy, regulators and competitors argue that its policies may inadvertently suppress competition and innovation.

In Germany, the Federal Cartel Office has been evaluating Apple’s ATT framework, expressing concerns that it may favor Apple’s own apps and services over those of competitors. The office’s preliminary assessment suggested that ATT could potentially violate antitrust laws by imposing stricter privacy standards on third-party apps than on Apple’s own applications.

Apple has responded to these allegations by stating that ATT applies equally to all developers and that its own apps do not track users across other companies’ apps and websites for advertising purposes. The company emphasizes that any data collection by its apps is minimal and conducted with user consent.

Looking Ahead

The fine imposed by Italy’s AGCM is likely to have significant implications for Apple’s ATT framework and its broader privacy policies. It may prompt Apple to reassess how ATT is implemented to ensure compliance with various international regulations while maintaining its commitment to user privacy.

For developers, this ruling highlights the challenges of navigating privacy regulations that vary across jurisdictions. It underscores the need for clear and consistent guidelines that balance user privacy with the operational realities of app development and digital advertising.

As the digital landscape continues to evolve, the tension between privacy, competition, and innovation remains a critical issue. Companies like Apple will need to work closely with regulators, developers, and users to develop policies that protect personal data without stifling competition or hindering technological advancement.