Apple Gets Hit With $116M Fine in Italy Over 'Excessively Burdensome' App Tracking Rules

Italy's antitrust regulator has fined Apple more than $116 million, ruling the tech giant abused its dominant App Store position by imposing unfair privacy rules on third-party developers.

The Italian Competition Authority (AGCM) claims Apple's terms for data collection are "disproportionate" and more burdensome for other companies than for its own native App Store apps. The fine specifically targets Apple's ATT policy, which launched in 2021.

The Double-Prompt Dilemma

At the heart of the dispute is how consent is obtained. Under ATT, third-party developers have to show users two separate prompts to get permission to track their data across other apps and websites. Regulators argue this creates significant friction and discourages users from opting in.

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According to the AGCM, this two-step requirement is "excessively burdensome" and goes beyond what's required by privacy law. The authority alleges that Apple gets a competitive advantage because its own services aren't subject to the same cumbersome process, creating an uneven playing field.

Global Scrutiny on Walled Gardens

For years, Apple has defended its tightly controlled ecosystem, or "walled garden," as a crucial element for ensuring user security and a seamless experience. However, critics and regulators have increasingly viewed these walls as anti-competitive barriers.

This decision from Italy aligns with a broader global push to rein in the power of Big Tech, from the European Union's Digital Markets Act (DMA) to ongoing antitrust lawsuits in the United States.