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Home News German Regulator Accuses Apple Of Abusing Market Power With App Tracking Tool

German Regulator Accuses Apple Of Abusing Market Power With App Tracking Tool

by Celia

Germany’s antitrust authority has officially charged Apple Inc. with abusing its dominant market position through its App Tracking Transparency (ATT) feature. The charge claims that the tech giant has given itself preferential treatment, potentially leading to daily fines if Apple fails to modify its business practices.

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The investigation, which has been ongoing for three years, was conducted by the Federal Cartel Office. The ATT feature, introduced by Apple, allows users to block advertisers from tracking their behavior across different apps. While the company defends the feature as a tool for enhancing user privacy, it has faced backlash from competitors, including Meta Platforms, app developers, and startups whose business models depend on advertising data.

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Andreas Mundt, President of the Federal Cartel Office, explained that the ATT tool has made it more difficult for competing app developers to access valuable user data for advertising purposes. “The ATT makes it far more difficult for competing app publishers to access the user data relevant for advertising,” he stated in a release.

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In response, Apple issued a statement defending its position. “We hold ourselves to a higher standard than it requires of any third-party developer,” the company said, reiterating its commitment to user privacy. Apple also expressed its willingness to continue working with the Federal Cartel Office to ensure transparency and control over user data.

The charges come after complaints from multiple industry stakeholders, including publishers, broadcasters, advertisers, agencies, and ad-tech firms. Legal representatives of the complainants argue that Apple’s practices have artificially obscured data access within its ecosystem, increasing costs for other app developers and limiting their ability to protect against ad fraud.

Thomas Höppner, a partner at law firm Hausfeld, which represents the complainants, described the charges as “groundbreaking.” He noted that Apple’s actions had not only led to reduced choice and higher app costs but also boosted the company’s own revenue from its services. “For the first time, it has been clarified that Apple may not rely on pretextual privacy arguments to massively restrict competition in its favor,” Höppner said.

If found guilty, Apple could face substantial fines, with penalties reaching up to 10% of its annual turnover. The case could reach a final ruling by the end of this year, though it is more likely to be concluded in 2026.

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