Apple accused of violating EU privacy laws by a French start-up group

Apple CEO Tim Cook will deliver a keynote address at the European Union privacy conference in the EU Parliament in Brussels, Belgium, October 24, 2018.

Yves Herman | Reuters

LONDON – France Digitale, a French start-up lobby group, filed a complaint against Apple with the national privacy regulator, arguing that the iPhone maker’s iOS 14 mobile operating system may violate European Union rules.

The campaign group, which numbers about 2,000 members, filed a seven-page complaint on Tuesday, seen by CNBC, with the Commission Nationale de l’Informatique et des Libertés.

It states that Apple may be collecting user data for advertising services without explicitly asking for permission, and it calls on the CNIL to investigate. Specifically, it thinks Apple has the “Personalized Ads” option enabled by default on iPhones with iOS 14 installed. Apple did not immediately respond to a CNBC request for comment.

“We suspect this is a very serious violation of our privacy regulations,” Nicolas Brien, CEO of France Digitale, told CNBC, adding that Apple may be in violation of the European General Data Protection Regulation and the Electronic Privacy Directive, also known as the e privacy directive. .

“Our problem here is that you don’t get the choice to agree,” said Brien. “It’s turned on automatically and it’s strictly prohibited by GDPR and e-Privacy.”

France Digital has also criticized Apple for its App Store practices in recent weeks, saying they harm start-ups.

Apple only allows developers to release iPhone and iPad apps through the iOS smartphone platform. The company has a rigorous iOS app approval process and has been criticized for fees of up to 30% it charges for in-app transactions.

Last year, the European Commission launched antitrust investigations into Apple’s App Store rules and the Apple Pay mobile wallet. Epic Games, the creator of the popular video game Fortnite, was particularly outspoken in its criticism of Apple. Apple said at the time that it was “disappointing” that the European Commission is listening to “unfounded complaints” from a small number of companies.

The UK competition authority started its own antitrust investigation into Apple on March 4. The Competition and Markets Authority said it would investigate Apple following complaints from software developers about the tech giant’s App Store.

Apple said it would work with the CMA to address its concerns. “We believe in thriving and competitive markets where every good idea can thrive,” said a company spokesperson earlier this month.

Other rules for Big Tech?

While Europe is tackling the US Big Tech companies, Brien still thinks companies like Apple are getting it relatively easy.

He claims that Apple is not on the same level of privacy control as French start-ups and other small businesses.

“We are constantly being examined,” said Brien. “We need that to stop. Technical regulations should not primarily focus on start-ups.”

A CNIL spokesperson confirmed to CNBC that it had received the complaint and planned to open an investigation.

Brien said he thinks privacy regulators in other countries will also investigate Apple if they hear about the feature France Digitale has addressed an issue with.

“This is a huge thing and we think it is an extremely important thing,” he said. “We’re talking about the most valuable technology company and if they don’t follow the rules, who should it be?”

Apple has positioned itself as a company that takes privacy more seriously than Silicon Valley neighbors Google and Facebook.

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