Apple is under investigation by Italian antitrust authorities for allegedly abusing its dominance in the app market 

The watchdog said Apple penalised third-party app developers by imposing “a more restrictive privacy policy” than it applies to itself.

Italy’s antitrust agency AGCM said Thursday it had launched an investigation into U.S. tech giant Apple for allegedly abusing its dominant position in the app market.

The regulator said it has penalized third-party app developers from April 2021 by enacting a “more restrictive privacy policy” than Apple applies to itself.

Additionally, the AGCM statement said that outside app developers would be at a disadvantage “due to the quality of the data Apple provides.”

In an emailed statement to Reuters, Apple said its privacy policy “applies equally to all developers, including Apple.”

The company added that it “will continue to work constructively with AGCM to answer all of its questions.” Under European Union competition law, companies found guilty of abuse of superiority can be fined up to 10% of their annual turnover.

Apple and other U.S. tech giants have been repeatedly scrutinized by European regulators.

The European Commission announced Wednesday that it is seeking more information about Apple’s mobile payment system as part of ongoing antitrust proceedings against iPhone makers.

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According to Italian regulators, users of non-Apple apps will receive a clearer and better-worded request to block data tracking.

Third-party app developers are also given less comprehensive information about the success of their advertising campaigns, according to AGCM. “Apple’s allegations of discriminatory conduct could result in reduced advertising revenue for third-party advertisers, benefiting Apple’s commercial division,” the agency said.

The move could force competitors out of the app development and distribution market, which would benefit Apple’s internal apps, mobile devices and iOS operating system, the company said.

In 2021, e-commerce giant Amazon.com was fined by AGCM for abusing its dominant position in the Italian market to gain an advantage in launching its own logistics services.

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