France’s competition watchdog has imposed a €150 million ($162 million) fine on Apple for abusing competition laws through its privacy feature, App Tracking Transparency (ATT). The authority stated that while the purpose of ATT—requiring apps to seek user consent before tracking—is not inherently problematic, the way Apple implemented it was both unnecessary and disproportionate to its stated goal of protecting user data.
Launched in April 2021 as part of an iOS update, ATT forces apps to obtain permission before collecting data for personalized advertising. Although the feature was introduced to enhance privacy, it faced backlash from Big Tech competitors who argued it disadvantaged smaller apps, making it difficult for them to survive without charging users.
The fine, which penalizes Apple for abusing its dominant position in the mobile app market, applies to the period between April 2021 and July 2023. However, the amount is relatively small for the iPhone maker, considering it generated $124 billion in revenue during the last quarter of the previous year.
The regulatory authority criticized the feature’s implementation, noting that it led to an overwhelming number of pop-ups from third-party apps seeking user consent. This flood of consent requests was seen as making it “excessively complex” for users to navigate the iOS ecosystem.
The watchdog also questioned the system’s fairness, arguing that it disproportionately harmed smaller publishers who rely heavily on third-party data collection to support their operations.
In response, Apple stated that ATT empowers users with greater privacy control by providing a clear and simple prompt focused solely on tracking.
Apple responded by stating that the prompt is consistent for all developers, including itself, and has received strong support from consumers, privacy advocates, and data protection authorities globally. The company expressed disappointment with the decision but noted that the French Competition Authority did not mandate any specific changes to ATT.