Italy’s antitrust authority has fined Apple €98.6 million (or about $115.5 million USD) — the first time that it has done so in a case involving allegations of planned obsolescence, or the practice of intentionally making products less effective over time to drive customers into purchasing new ones. The watchdog said that Apple had unfairly leveraged its market dominance in the mobile app ecosystem, penalising third-party developers with its privacy policies. The ruling underscores Europe’s mounting effort to strike a balance between user privacy and fair competition in markets controlled by Big Tech.
Why Italy’s antitrust regulator fined Apple
The probe, launched in May 2023, centred on Apple’s App Tracking Transparency (ATT) policies. ATT, which was introduced in April 2021, is a feature that requires apps to get user permission before tracking their activities across other apps and websites for advertising.
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According to the AGCM, Apple applied ATT rules in a way that went beyond what was necessary to protect privacy. Regulators argued that third-party developers were subjected to stricter and more complex requirements than Apple’s own services. This, they said, created an uneven playing field in the app market.
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The authority also accused Apple of forcing developers to show duplicate consent prompts for similar data uses, increasing friction for users and making it harder for developers to collect advertising data. In AGCM’s view, these policies were imposed unilaterally and were “not proportionate” to the privacy goals Apple claimed to pursue.
Impact on developers and competition
The regulator said Apple’s approach effectively penalised rival apps that rely on advertising revenue, while Apple’s own services faced fewer obstacles. This, AGCM noted, distorted competition in the mobile app market, where Apple already holds significant power due to its control over iOS and the App Store.
By limiting how third-party apps can track users while retaining advantages for its own ecosystem, Apple was found to have leveraged its dominance in a way that harmed business partners and reduced competition.
Apple’s response and appeal plans
Apple has strongly rejected the ruling and confirmed that it will appeal the fine. The company said the decision ignores users’ fundamental right to control how their personal data is used. Apple maintains that ATT applies equally to all developers, including its own apps, and is designed to give users clear and meaningful privacy choices.
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Broader antitrust pressure on Apple
The Italian fine comes as Apple faces growing global pressure over its commercial practices. The company pushed back against new antitrust rules in India earlier this year, saying that penalties it may face could total $38 billion. That case originated from a 2022 probe that followed complaints by Match Group and Indian startups, in which regulators accused Apple of holding an abusive monopoly over its app ecosystem.
What this ruling means going forward
Italy’s ruling indicates a hardening attitude among European regulators over how giant tech companies apply privacy tools. As much as privacy is a top priority, they are making it clear that it cannot be used as a shield for anti-competitive conduct. As Apple gears up to appeal, the case could have implications across the industry for how app platforms structure privacy frameworks without unfairly disadvantaging competitors.