Apple has been fined €150 million ($162 million) by France's competition regulator for what was deemed an abuse of power related to its App Tracking Transparency (ATT) feature.

The ATT system, launched in early 2021, mandates users to consent to tracking on an app-by-app basis, complicating the user experience for third-party applications.

In defense, Apple stated that its ATT prompt is uniform for all developers and has garnered broad support from consumers and privacy advocates.

If users decline tracking, apps lose access to the Identifier for Advertisers (IDFA), which is crucial for targeted advertising, a situation that has drawn criticism from competitors.

The French authority pointed out an 'asymmetry' in tracking consent processes, adversely affecting smaller publishers compared to larger companies like Meta and Google.

The ATT framework was found to violate GDPR standards due to its lack of neutrality and its negative effects on competition, especially for smaller developers.

This penalty is part of a broader trend where tech giants face increased scrutiny and regulatory actions in Europe concerning data privacy and antitrust issues.

The investigation concluded that Apple's practices could harm competition by limiting advertisers' access to essential consumer data, thereby affecting their ability to effectively reach audiences.

Representatives from the advertising industry welcomed the ruling as a significant victory for the 9,000 companies in online media and advertising impacted by ATT.

In addition to the fine, Apple is required to publish a summary of the French authority's decision on its website for seven days.

Apple has indicated plans to appeal the decision, arguing that its practices are designed to enhance user privacy and provide greater transparency in data usage.

The ruling could escalate tensions between France and the U.S., as similar fines have been criticized by U.S. officials as overreach by European regulators.