Apple Faces $162 Million Fine from French Regulators Over Advertiser Access to User Data for Targeted Advertising

Introduced in 2021, Apple’s App Tracking Transparency (ATT) feature offers users of iPhones and iPads the power to control which applications monitor their activities. While this change has significantly reduced the volume of targeted advertisements consumers receive, it has led to frustrations among advertisers. Numerous companies that previously relied on this targeted marketing are voicing concerns about the increased costs associated with advertising on Apple’s platforms. The situation has prompted scrutiny from regulatory bodies, resulting in a notable $162 million fine levied against Apple by a French authority, marking a significant developmental step in the ongoing discussions surrounding ATT.

French Regulatory Body’s Approach to Apple’s ATT Fine

What makes this fine notable is that the French Competition Authority has not mandated any alterations to Apple’s ATT framework. In a recent press conference, Benoit Coeure, head of the French regulatory body, shared insights reported by Reuters. He indicated that the authority is not anticipating any immediate backlash from U. S.political figures, such as former President Donald Trump, who has previously threatened to impose penalties on EU nations enforcing fines against American enterprises.

“We apply competition law in an apolitical manner. But what we have heard…is that they (U. S.authorities) intend to apply antitrust law to the big digital platforms as strictly as their predecessors. So in terms of antitrust, I don’t see any controversy between the United States and Europe on how we apply the law.”

In response to the decision, Apple has expressed disappointment but clarified that the French Competition Authority has not urged the company to implement any modifications to the ATT tool or offered any alternatives to reduce the financial penalty imposed on them. This situation suggests a lengthy compliance journey ahead for Apple, especially as they await reports from regulatory bodies in several countries, including Germany, Italy, Poland, and Romania, who are also probing the implications of ATT.

As the French Competition Authority has not called for any immediate adjustments, it is likely that this fine could become a recurring issue. Readers can expect updates if any modifications to the ATT tool are enacted. Stay tuned for further developments on this topic.

For additional insight, please refer to the report by Bloomberg.

Source & Images