The regulatory crackdown on Big Tech in Europe continues to intensify. In a major blow to the iPhone maker, Italy’s competition regulator, the AGCM, has imposed a massive fine on Apple. The watchdog announced an Apple Italy Fine of approximately €98.6 million (roughly $116 million) for abusing its dominant position in the app market.
The ruling, announced on December 22, 2025, centers on the controversial implementation of Apple’s App Tracking Transparency (ATT) framework. Regulators argue that Apple used privacy as a shield to disadvantage third-party developers while boosting its own advertising services. Here is everything you need to know about this landmark decision.
The Investigation: Why AGCM Fined Apple
This penalty is the result of an investigation that began in May 2023. The Italian Competition Authority (AGCM) concluded that Apple leveraged its “super-dominant” position in iOS app distribution to impose unfair restrictions on competitors. The probe found that Apple’s privacy policies were applied in a discriminatory manner, favoring its own apps over those of third-party developers.
For more details on the regulatory framework, you can visit the official AGCM Italy Website.
- Focus of Probe: The ATT feature enforced since April 2021.
- Key Allegation: Unfairly restricting third-party developers’ access to data.
- Legal Basis: Violation of Article 102 of the Treaty on the Functioning of the European Union (TFEU).
The ATT Controversy: Privacy or Monopoly?
Introduced with iOS 14.5, App Tracking Transparency (ATT) requires apps to ask users for explicit permission before tracking their activity across other companies’ apps and websites. While marketed as a user privacy win, regulators argue the implementation creates an uneven playing field.
The “Double Consent” Burden
The AGCM highlighted a specific issue they term “double consent.” Third-party apps face a cumbersome process where they must obtain user permission twice:
- Once through Apple’s mandatory ATT prompt.
- Again through a separate prompt to comply with GDPR laws.
Regulators argue that this repetitive process confuses users and discourages them from granting permission. In contrast, Apple’s proprietary apps (like Music, Maps, and News) are not subject to the same ATT prompts, as Apple claims it does not share data with third parties.
“The AGCM states that this unbalanced policy crushes competition under the guise of privacy, directly harming the interests of developers.”
Financial Impact on Third-Party Developers
The Apple Italy Fine underscores the financial damage caused to the app ecosystem. The investigation revealed that third-party developers suffered a significant drop in advertising revenue because they could no longer effectively target ads without tracking data.
Conversely, Apple’s own advertising business benefited from this shift. With third-party tracking disabled, developers were forced to rely more heavily on Apple’s own ad services (such as Apple Search Ads) to reach customers, creating a scenario of self-preferencing.
Apple’s Defense: Standing by Privacy
Despite the heavy fine, Apple has firmly defended its policies. The company issued a statement criticizing the decision, asserting that App Tracking Transparency is designed solely to empower users, not to harm competition.
Apple’s key defense points include:
- ATT applies equally to all developers.
- Apple does not track users across third-party apps, so its own apps do not require the prompt.
- The company plans to appeal the decision immediately.
You can read more about Apple’s stance on privacy at the Apple Newsroom.
Europe’s Growing Tech Scrutiny
This ruling is part of a broader trend of strict enforcement in the EU, driven by regulations like the Digital Markets Act (DMA). Countries like France and Germany are also investigating similar practices. The cumulative pressure from these rulings suggests that Apple may eventually be forced to redesign how privacy prompts work in Europe to ensure fair competition.
In addition to the fine, Apple has been ordered to cease these discriminatory practices and submit a compliance report within 90 days.
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Utkarsh works as a Sub-Editor at 1Tak News. Technology and gadgets are his main beats, and he also tracks automobiles. A graduate of Mahatma Gandhi Kashi Vidyapeeth, he began his journalism career in 2023 and has built experience across digital media platforms like 1Tak. Besides technology, he also has considerable experience covering national affairs, politics, research, and international news.
