Apple is under growing scrutiny in Brazil amid allegations of anti-competitive practices related to its App Store. Although the company was recently granted more time to discuss the matter, Brazil’s antitrust regulator Cade has now launched an official investigation into Apple’s App Tracking Transparency (ATT) feature.
According to O Globo, Cade opened the investigation following a complaint by Meta. The company argues that iOS’s ATT feature unfairly targets third-party apps. Specifically, Meta claims that only external apps must request user permission to collect tracking data, while Apple’s own apps are allowed to collect and process user information without the same requirement.
Cade noted there is “evidence” that Apple “collects and processes information from its users under more favorable conditions than those offered to third parties.”
ATT was introduced in 2021 as a privacy measure. It requires third-party apps to show a pop-up asking users whether they allow tracking across apps and websites. Not surprisingly, most users opt out when given this choice.
Ongoing Concerns from Meta and Regulators
Companies like Meta, which rely heavily on advertising revenue, have been negatively impacted by ATT. These businesses depend on user data for fingerprinting, a process used to create detailed user profiles based on activity across apps. That data is then sold to advertisers for more accurate targeting.
Since the introduction of ATT, Meta has repeatedly criticized Apple, calling the feature a “harmful policy.” In Brazil, Apple is not facing legal action yet. Cade is currently reviewing the ATT terms and conditions that apply to third-party apps. However, if the regulator concludes that these terms are unfair, Apple could face fines in the country.
A few days ago, France fined Apple $132 million for similar reasons. There, the local regulator ruled that ATT was “neither necessary nor proportionate.” While they did not question the concept of ATT, the implementation was deemed problematic. According to the regulator, the system creates inequality by requiring external apps to obtain double consent, while Apple apps are exempt from this requirement.
This creates what they called an “asymmetric” system that disadvantages small, ad-funded publishers. The critique is especially notable given that ATT only requires a single yes/no pop-up and even allows users to block tracking requests entirely, adds NIXsolutions.
It’s worth noting that ATT is promoted as a privacy-focused feature, and Europe is known for having some of the world’s most stringent privacy laws. The European Union had previously supported Apple’s move to introduce ATT.
For now, the outcome in Brazil remains uncertain, yet we’ll keep you updated as more developments and possible international reactions emerge.