Apple Hit with $116 Million Fine Over Privacy Feature Controversy

Italy's antitrust authority fined Apple 98.6 million euros for its App Tracking Transparency (ATT) policy, which was deemed to limit App Store competition. The policy requires apps to gain user consent for data use, impacting smaller app developers. Apple plans to appeal the decision, defending its privacy stance.

Italy's antitrust authority has imposed a hefty fine on tech giant Apple, amounting to 98.6 million euros ($116 million), over the implementation of its App Tracking Transparency (ATT) policy. The authority claims that the privacy feature significantly restricts competition within the App Store by enforcing rigorous consent measures.

According to the authority, Apple's ATT policy demands apps to seek user permission before collecting data for targeted advertising. While rolled out in April 2021 to enhance privacy on Apple devices, it has faced backlash from smaller app developers and the tech community for creating competitive disadvantages.

Apple has issued a statement expressing disagreement with the ruling, emphasizing that its privacy policies are designed to protect users against unchecked data access. The company intends to contest the decision, upholding that privacy remains a fundamental right that supersedes the interests of ad tech companies.

(With inputs from agencies.)