Apple Fined $116M Over Double Privacy Prompts That Hurt App Developers
Italy’s antitrust watchdog has hit Apple with a €98 million ($116 million) fine for what it calls “excessively burdensome” privacy rules that unfairly disadvantage third-party app developers. The penalty targets Apple’s App Tracking Transparency (ATT) policy, which requires external apps to prompt users twice for permission to track data—while Apple’s own apps need only one. The Italian Competition Authority (AGCM) argues this double consent system drives down user opt-in rates, crippling ad-supported developers who rely on personalized advertising to survive.
Why Italy Says Apple’s ATT Policy Is Anti-Competitive
According to the AGCM, Apple’s enforcement of the ATT framework goes beyond what’s required by EU privacy laws and unfairly tilts the playing field. While all apps must comply with data protection standards, Apple’s native apps—like Apple News or Maps—only show users a single request for tracking permission. Third-party developers, however, must navigate a two-step process: first through Apple’s system-level prompt, then a second within their own app. This discrepancy, regulators say, discourages users from consenting, slashing ad revenue for smaller developers without improving user privacy.
Developers Feel the Revenue Squeeze
For many app makers, especially those offering free services funded by ads, the ATT rollout in 2021 was a financial earthquake. Industry reports show opt-in rates for tracking plummeted to under 25% globally—and even lower in Europe. With Italy’s latest ruling, regulators are sending a clear message: privacy protections shouldn’t come at the cost of fair competition. The AGCM emphasized that Apple could have designed a single, streamlined consent flow that protects users and preserves developer livelihoods.
Apple Pushes Back, Vows to Appeal
Apple has firmly rejected the accusations, stating it “strongly disagrees” with the Italian authority’s findings. In a comment to Reuters, the company reaffirmed its commitment to user privacy as a “fundamental human right.” Apple argues that the ATT framework empowers users to control their data—a stance that has won praise from privacy advocates but drawn scrutiny from regulators who see it as a tool to entrench Apple’s market dominance. The company plans to appeal the fine, setting up another legal battle in its ongoing clash with European antitrust bodies.
Part of a Broader EU Crackdown on Big Tech
This isn’t Apple’s first run-in with European regulators over ATT. In March 2025, France fined the tech giant $162.4 million for similar practices, citing the same double-prompt issue. The Italian ruling signals that EU authorities are coordinating more closely to challenge perceived abuses of power by dominant platforms. With the Digital Markets Act (DMA) now fully in force, Apple—and other gatekeepers like Google and Meta—face heightened scrutiny over how they design systems that affect competitors’ access to users and data.
What This Means for the Future of App Privacy
The case raises tough questions about where privacy ends and anti-competitive behavior begins. While users benefit from clearer control over their data, the implementation of those controls matters—especially when one company sets the rules for an entire ecosystem. If courts side with regulators, Apple may be forced to overhaul its ATT system, potentially standardizing consent flows across all apps. That could mean more consistent privacy experiences—but also a lifeline for developers struggling in the post-ATT economy.
A Balancing Act Between Privacy and Fairness
As tech giants wield growing influence over digital marketplaces, regulators are stepping in to ensure that “privacy by design” doesn’t become “advantage by design.” Italy’s fine underscores a new norm: even well-intentioned privacy features must pass the fairness test. For millions of app developers—and the users who rely on free, ad-supported services—the outcome of these legal fights could reshape the mobile landscape for years to come. All eyes now turn to Apple’s appeal and whether other EU nations will follow Italy’s lead.
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