Italy Hits Apple With €98.6M Fine Over App Store Practices

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Italy Hits Apple With €98.6M Fine Over App Store Practices

Italy’s competition authority (AGCM) has fined Apple and two of its divisions €98.6 million ($115.53 million). The penalty comes over alleged abuse of Apple’s dominant position in the mobile app market.

The regulator said Apple holds “absolute dominance” in handling third-party developers through its App Store. AGCM claims the company’s practices violate European competition rules.

The investigation began in May 2023, focusing on Apple’s privacy policies. Authorities said Apple penalized third-party developers by introducing a restrictive policy from April 2021. This policy affected how apps could collect and link user data for advertising purposes.

Apple required developers to use the App Tracking Transparency (ATT) prompt to get consent from users. AGCM said these rules were imposed unilaterally and harmed developers’ interests. The authority added that the policy was not proportionate to achieving privacy objectives.

Developers were also forced to duplicate consent requests for the same purpose, which increased complexity and workload. According to AGCM, this process did not comply with privacy regulations in Europe.

The investigation was described as complex and coordinated with the European Commission. AGCM emphasized that the fine aims to address Apple’s dominant control in Italy’s app market.

Apple has not immediately responded to the fine. Industry experts say the decision could have wider implications for tech giants operating in Italy and across Europe. It highlights growing scrutiny of app store practices and user privacy rules.

This penalty is part of ongoing efforts by European regulators to ensure fair competition in the technology sector. Apple could face further action if similar practices are found in other EU countries.

In other related news also read iPhone Air Launch Slipped As Apple Tweaks Hardware

The fine demonstrates Italy’s commitment to protecting developers and maintaining competitive markets. Authorities hope the ruling will encourage fairer practices in the country’s digital economy.

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