Apple has been sued for $2.7 billion over App Tracking Transparency rules

Lawsuit Over App Tracking Transparency

Apple is facing a £2 billion ($2.7 billion) lawsuit filed on behalf of app developers by a former official with the Competition and Markets Authority - the UK's antitrust watchdog. The suit accuses Apple of placing stricter rules on external developers than its own services, thereby giving the company's advertising ecosystem an edge.

What Is App Tracking Transparency?

App Tracking Transparency (ATT) debuted in 2021, ostensibly to give users more control over how much of their activity app developers can track across other apps and websites. Apple told Reuters it was "bound by the exact same requirements as all developers."

Regulatory Scrutiny Across Europe

Regulators across Europe have investigated ATT, including in:

• France
• Italy
• Poland

Germany's competition regulator, the Federal Cartel Office, last month determined that Apple was favoring its own apps over those from external developers. It said the ATT pop-ups Apple used for its services:

• "had the potential to encourage users to give their consent"
• "had the potential to discourage consent for third-party apps"

Changes and Prior Penalties

As a result of the German ruling, Apple agreed to make some changes to how ATT works in the European Union. This follows the French Competition Authority fining Apple €150 million ($175 million at current rates) over ATT last year.