Apple Fined 11 Million in Italy
Apple and Google were today penalized a total of 10 million euros ($11 million) by Italy’s Competition Authority for allegedly utilizing user data for commercial reasons without their express agreement, a breach of the country’s Consumer Code, according to the Competition Authority. Apple Fined $11 Million in Italy. Apple Fined 11 Million in Italy
Users’ data collected via their services is being used for promotional and commercial purposes, according to the authority, which believes that both Apple and Google are doing so without their users’ agreement. According to a machine-translated copy of the press release, Apple “directly exploits the economic value” of the data it collects in order to “boost the sale of its goods and/or those of third parties via its commercial platforms (App Store, iTunes Store, and Apple Books).
Both Apple and Google, according to the watchdog, do not give consumers with appropriate and quick notice that their data would be used for commercial reasons. Apple is accused of failing to give customers with a mechanism to opt out of the usage of their data for commercial reasons, according to the fine’s readout, which specifically mentions Apple. According to the press release (which was translated by a machine): Apple Fined 11 Million in Italy
When it comes to Apple, the promotional activity is based on an approach that obtains permission to the use of user data for commercial reasons without offering the customer the opportunity to make a prior and explicit decision about sharing their data. This acquisition architecture, developed by Apple, does not allow individuals to exercise their right to object to the use of their personal information for commercial purposes. Apple may use this information for its own promotional goals, which are carried out in a variety of various methods. As a result, the customer is constrained in his or her choice of consumption and consents to the transmission of personal information.
As the Italian data protection authority put it, when users create an Apple ID, which is required in order to access any of Apple’s services, the company fails to provide them with “any indication on the collection and use of (their) data for commercial purposes” immediately and explicitly, as required by law. It was also noted that Apple merely informs consumers that their data would be used to enhance and customize their experience, not that it will be used for commercial reasons, under its privacy policies. Apple Fined 11 Million in Italy
Apple Fined 11 Million in Italy
When consumers use the App Store, for example, Apple does display a splash screen informing them that Apple may use some of their data to “enable features, secure our services, or tailor your experience,” among other things. However, although the authority properly points out Apple’s failure to acknowledge that data will be used for commercial reasons, it fails to give instances or proof that the company has engaged in such activities.
Apple was penalized more than $150 million by Italy’s competition authorities earlier this week for suspected anti-competitive conduct with Beats and Amazon, according to reports. After an inquiry, it was discovered that Apple and Amazon were restricting the sale of Beats goods via third-party resellers in an effort to hinder competition. As a consequence of the investigation, the punishment was imposed.
Update: According to a statement sent to MacRumors, Apple believes the authority’s point of view is “wrong” and that it intends to appeal the judgement. Also, Apple has said that it would only send marketing emails to consumers with their express approval, and that it will utilise its “Data & Privacy” screen to educate users of the ways in which their personal data is being used. Apple also said that it does not customize any of its services, including its digital Stores, for children and that customers have the ability to turn off personalization at any point in the process. Apple Fined 11 Million in Italy
We feel the Authority’s position is incorrect, and we intend to file an appeal against the judgement. For years, Apple has maintained a strong commitment to the privacy of our customers, and we have worked tirelessly to develop products and services that secure consumer data. We give all users with industry-leading transparency and control, allowing them to decide what information to share and with whom, as well as how it is utilized.
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