Apple is challenging India’s antitrust penalty law, which calculates fines based on global turnover, amid ongoing investigations into its practices in the Indian iOS ecosystem.
Apple is gearing up for a significant legal battle in India as it seeks to contest antitrust proceedings initiated by the Competition Commission of India (CCI). The tech giant aims to challenge a law that permits penalties to be calculated based on a company’s global turnover, a move that could have substantial implications for its operations in the country.
Since 2022, the CCI has been investigating Apple over allegations of abusing its dominant position in the Indian iOS ecosystem. Central to the investigation is the company’s requirement that app developers utilize its in-app purchase (IAP) system, which can impose fees as high as 30%. Critics argue that this practice stifles competition by limiting alternative payment methods.
Reports indicate that Apple could face a staggering penalty of up to $38 billion. This figure has been influenced by claims from Tinder-owner Match Group and various Indian startups, who have convinced the CCI that Apple’s IAP fees are detrimental to smaller competitors and constitute anti-competitive behavior.
From the CCI’s perspective, as well as that of several legal experts, calculating fines based on global turnover is crucial for ensuring a deterrent effect, particularly in digital markets where revenue generated in India represents only a fraction of a global tech firm’s total earnings.
As of December 2025, no final penalty has been imposed on Apple. The Delhi High Court is tasked with determining the validity of the amended penalty law and its applicability in this case. The court’s decision is anticipated to have far-reaching consequences, not only for Apple but also for the broader regulatory landscape governing global tech companies in India.
On Monday, a lawyer representing the CCI accused Apple of attempting to “stall the proceedings,” which date back to 2021. In response, Apple’s legal counsel urged the court to prevent the regulator from taking any coercive actions.
In a private submission to the CCI reported by Reuters in October, Match Group argued that calculating penalties based on global turnover could serve as a significant deterrent against repeat offenses. This case underscores the intricate relationship between regulatory authority, the business models of digital markets, and the interpretation of competition law.
The scrutiny of global technology firms, particularly regarding mandatory in-app payment systems, highlights the challenges regulators face when assessing practices that may restrict competition or disadvantage smaller players.
India’s amended competition law, which allows for fines based on global turnover and enables retrospective application, has ignited discussions about fairness, proportionality, and the extent of regulatory power. While Apple contends that these measures are excessive and legally questionable, regulators and some experts maintain that global-turnover calculations are vital for ensuring effective deterrence in rapidly evolving digital markets.
The outcome of this case could establish a precedent for how India approaches antitrust enforcement against global tech companies, shaping future disputes at the intersection of innovation, competition, and consumer protection.
Source: Original article

