On 31 March, the French Competition Authority fined Apple 150 million euros for abusing its dominant position in the distribution of mobile applications on iOS and iPadOS devices from April 2021 to July 2023.
In October 2020, several associations representing online advertising entities filed a complaint with the FCA, expressing concerns about the impact of the App Tracking Transparency (ATT) framework on targeted advertising and the funding of application publishers and other online advertising players.
Upon investigation, the FCA concluded that while the ATT framework’s objective of protecting personal data is commendable, Apple’s implementation was considered excessive and unnecessary.
The introduction of the ATT framework led to multiple consent pop-ups, complicating the use of third-party applications on iOS devices. The FCA determined that Apple’s imposition of the ATT framework was deemed unnecessary, as the obtained consent did not comply with applicable laws, particularly the French Data Protection Act.
Consequently, publishers were forced to rely on their own consent collection solutions, known as consent management platforms (CMPs), further complicating the user experience with multiple consent pop-ups.
This situation was highlighted by the French data protection authority CNIL in a 2022 opinion requested by the FCA, pointing out that the use of multiple consent pop-ups made the use of third-party applications in the iOS environment excessively complex.
The FCA also identified that the rules governing the interaction of these pop-ups undermined the framework’s neutrality and caused economic harm to application publishers and advertising service providers.
Furthermore, the FCA emphasized that Apple’s implementation of ATT disproportionately impacted smaller publishers, who are heavily reliant on third-party data collection, in contrast to larger vertically integrated platforms.
Apple introduced the ATT framework in April 2021 with the release of iOS and iPadOS version 14.5. The framework aims to enhance privacy protection by standardizing user consent for data collection through pop-up formats and allowing access to the Identifier for Advertisers (IDFA) for targeted advertising purposes.
While Apple has the authority to establish additional consumer protection regulations, it must ensure that, as a dominant player in the mobile application distribution market, its actions align with competition laws while pursuing its legitimate objectives.
