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A group of Germany’s largest media, technology and advertising companies have accused Apple of antitrust abuse as it introduces changes to iPhones ’privacy settings that they say will harm the advertising market.
Nine industry associations, representing companies such as Facebook and Axel Springer, owner of Bild, Die Welt and Insider, filed the complaint on Monday before the German competition regulator.
Apple is expected to release iOS 14.5 later on Monday, an update that will force all apps to ask users if they want to track for advertising purposes. Most users are expected to decline, which will be a blow to the mobile advertising market.
Apple has said the changes improve the privacy of its users. Last week it emerged that the iPhone maker also plans to increase your own advertising business.
The German complaint predicted a 60% drop in ad revenue for app developers, as the changes make it possible for third parties to gather the data they need to run ads.
Thomas Hoppner, of the law firm Hausfeld, which represents whistleblowers, said more apps will have to go to charge consumers instead of the current advertising-based business model.
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He added: “Consumers will be harmed by higher transaction costs. If the relevance of ads decreases, consumers will have to spend more time looking for deals that are relevant to them.”
A resemblance complaint was made by advertisers in France last October and France Digitale, which represents most of the country’s venture capital firms, also filed a complaint in March.
Apple did not immediately comment on the new complaint in Germany, but a spokesman noted the company’s previous statements in the context of the French case.
When the complaint was filed, Apple said it believed privacy was a “fundamental human right” and that users’ data belonged to them and that they had to choose whether to share it and with whom.
Apple said: “With iOS 14, we give users the ability to choose whether or not to allow apps to track them by linking their information to third-party data for advertising purposes or sharing their information with data agents.
“These rules apply equally to all developers (including Apple) and we have received strong support from regulators and privacy advocates for this new feature.”
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