Italy fines Apple and Google for aggressive data practices – TechCrunch

Apple and Google have been fined 10 million apiece by Italys competition and market authority (AGCM) which has found they did not provide their users with clear enough information on commercial uses of their data in violation of the countrys consumer code.

The regulator also accuses the pair of deploying aggressive practices to push users to accept the commercial processing.

Apple and Google were both contacted for a response to the ACGMs sanction. Both said they will appeal.

Google is accused of omitting relevant information at the account creation phase and as consumers are using its services information the regulator says should be providing in order for people to decide whether or not to consent to its use of their data for commercial ends.

The AGCM has also accused Apple of failing to immediately provide users with clear information on how it uses their information commercially when they create an Apple ID or access its digital stores, such as the App Store.

Its the rather more surprising sanction given Apples carefully cultivated image as a champion of consumer privacy (not to mention the premium its devices and services tend to command vs cheaper, ad-supported alternatives, such as stuff made by Google).

The Italian regulator lumps both companies practices together in a press release announcing the sanctions accusing each one of being especially aggressive in pushing self-serving commercial terms on their respective users, especially at the account creation phase.

For Google, the ACGM notes that it pre-sets user acceptance of commercial processing and also notes that the adtech giant fails to provide a clear way for users to revoke consent for these data transfers later or otherwise change their choice after the account step has been completed.

It also takes the view that Apples approach denies users the ability to properly exercise choice over its commercial use of their data, with the regulator arguing the iPhone makers data acquisition practices and architecture essentially condition the consumer to accept its commercial terms.

Its an awkward accusation for a company that splashes major marketing cash on suggesting its devices and software are superior to alternatives (such as tech made by Google) exactly because it claims to put user privacy at the core of what it does.

In a statement, Apple rejected the ACGMs finding writing:

We believe the Authoritys view is wrong and will be appealing the decision. Apple has a long-standing commitment to the privacy of our users and we work incredibly hard to design products andfeatures that protect customer data. We provide industry-leading transparency and control to all users so they can choose what information to share or not, and how it is used.

A Google spokeswoman also disagreed with the findings, sending this statement:

We have transparent and fair practices in order to provide our users with helpful tools and clear information about their usage. We give people simple controls to manage their information and limit the use of personal data, and we work hard to be fully compliant with the consumer protection rules. We disagree with the Authoritys decision and we will appeal.

The full text of the ACGMs decisions can be found here: For Apple and Google.

The Italian regulator has had a busy few days slapping big tech: Earlier this week it issued a $230M fine (total) for Apple and Amazon over alleged collusion around the sale of Apple kit on Amazons Italian marketplace.

It has also been stepping up investigations of tech giants over a period of years earlier this year it fined Facebook over similar issues with its commercial use of peoples data, while this summer it hit Google with a $123M fine related to Android Auto. It also has an open probe into Googles displaying advertising business.

Other fines from the ACGM in recent years include one for Apple related to misleading iPhone users about the devices water resistance and another for Apple and Samsung for slowing devices.

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Italy fines Apple and Google for aggressive data practices - TechCrunch