French antitrust regulators have imposed a €150 million ($162 million) fine on Apple over its App Tracking Transparency, ATT, feature, arguing that its implementation unfairly penalizes third-party publishers while favouring Apple’s own advertising services.
The decision, announced on Monday, March 31, adds to the mounting scrutiny Apple faces across Europe regarding its privacy policies.
The French Competition Authority criticized Apple for making its tracking consent process unnecessarily complex for third-party apps while maintaining a simpler approach for its own services. The watchdog stated that the system forces users to opt out of ad tracking twice instead of once, creating an unfair disadvantage for smaller publishers who depend on targeted ads for revenue.
In addition to the hefty fine, Apple is required to publish the ruling on its website for seven days. Similar investigations into the ATT framework are already underway in Germany, Italy, Romania, and Poland, reflecting broader concerns about Apple’s influence over the digital advertising market.
Apple introduced ATT in 2021, promoting it as a tool to enhance user privacy by requiring apps to obtain explicit permission before tracking users across different platforms. If a user declines, the app loses access to tracking data essential for targeted advertising. While Apple argues that this empowers users with greater control over their data, critics claim the feature disproportionately impacts third-party advertisers.
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The French regulator highlighted that excessive consent requests on iPhones and iPads create a cumbersome user experience, discouraging opt-outs and subtly steering users toward Apple’s ecosystem. It also pointed out that Apple’s approach harms smaller businesses that rely heavily on digital advertising revenue, intensifying market competition concerns.
Apple, responding to the ruling, expressed disappointment but noted that the decision does not mandate changes to ATT. The company defended its privacy policies, emphasizing that the prompt presented to users is consistent for all developers, including Apple itself. It also insisted that ATT enjoys strong support from consumers, privacy advocates, and data protection agencies globally.
This ruling comes after years of complaints from advertising industry players who argued that ATT restricts their ability to target users effectively. Although the French watchdog initially chose not to impose emergency measures in 2021, it continued its investigation, leading to this landmark decision.
With regulatory pressure mounting in multiple European countries, Apple faces an uphill battle to justify its privacy framework while balancing its interests in the digital advertising space. The outcome of ongoing investigations in other regions could further shape the company’s approach to user data management in the coming years.
Agency report
