Key Points:
- Apple withheld data from India’s antitrust body in app market probe.
- CCI fast-tracked penalty decision, setting final hearing for May 21.
- Apple fears a $38 billion fine based on global turnover.
- The case originated in 2021 over in-app purchase system.
Apple has not provided the data requested by India’s antitrust body following an investigation that found the U.S. firm abused its dominant position in the iPhone apps market. This lack of cooperation has prompted the watchdog to fast-track its decision on penalties, setting a final hearing for next month, according to a recent order.
The Competition Commission of India (CCI) stated in an April 8 order that Apple has failed to submit financial details and its perspective on the investigation since October 2024. Instead, Apple cited a separate case pending in the Delhi High Court, where the company is challenging India’s entire antitrust penalty law.
Typically, the CCI requires financial information from companies found to have violated the law to calculate appropriate penalties. Apple, which denies any wrongdoing in the case, has expressed concerns that it could face fines up to $38 billion if the watchdog uses its global turnover as the basis for calculating penalties.
The CCI’s order, reviewed by Reuters but not yet public, noted that Apple “has been afforded adequate opportunities to file” its objections or suggestions to the investigation report and has also “not submitted the requisite financial information.” Neither Apple nor the CCI immediately responded to Reuters’ inquiries.
This Indian case is one of many antitrust challenges Apple faces worldwide. India is a crucial market for Apple, where its iPhones now hold a 9% market share, a significant increase from just 4% two years ago, according to Counterpoint Research.
While the CCI has given Apple an additional two weeks to submit its responses, it has, for the first time, set a final hearing date of May 21. Lawyers interpret this as a sign that the watchdog is taking a tougher stance.
Gautam Shahi, an antitrust partner at Dua Associates, explained, “Apple has the opportunity right now to submit its financials supported by an auditor’s certificate and then argue on quantum of penalty during the hearing based on these financials.” He cautioned, “In case it fails, its arguments on quantum of penalty will be constrained accordingly.”
The Apple case originated in 2021 when a non-profit group challenged Apple’s practices. Later, Tinder-owner Match and several Indian startups also voiced opposition to Apple’s policies. A CCI investigation report in 2024 concluded that Apple exploited its dominant position in the apps market by forcing developers to use its proprietary in-app purchase system. Apple continues to deny wrongdoing, arguing that it is a small player in India, where phones running Google’s Android system are overwhelmingly dominant.
