India's Competition Commission has issued Apple a final warning over repeated delays in its antitrust investigation into App Store practices, threatening to proceed with the case unilaterally if Apple fails to respond by next week.
India's Competition Commission (CCI) has escalated its antitrust probe against Apple, issuing a formal warning that the company must cease delaying responses in an investigation dating back to 2022. The regulator's confidential December 31 order states Apple's repeated extension requests have "undermined procedural discipline" and impeded resolution of a case examining whether Apple abused its dominance in India's iOS app market.
Background of the Investigation
The case originated from complaints filed by Match Group (parent company of Tinder) and several Indian startups alleging Apple's App Store policies constitute anti-competitive behavior. In 2024, CCI investigators concluded Apple had indeed engaged in abusive practices, specifically citing:
- Mandatory use of Apple's in-app payment system
- Excessive commission rates (15-30%) on digital purchases
- Restrictive developer guidelines limiting alternative distribution
Apple has consistently denied the allegations while legally challenging the CCI's penalty calculation methodology. The company contends that using its global revenue to determine fines—potentially reaching $38 billion—is disproportionate.
The Escalation
Since the 2024 findings, Apple has secured multiple extensions to file objections and provide financial documentation. The CCI's latest order reveals growing frustration: "Such indulgence cannot be continued indefinitely." Key developments include:
- Apple's failed attempt to pause the entire investigation pending resolution of its legal challenge
- Over 12 months of delayed responses despite "unambiguous directions"
- A final deadline for Apple to respond by next week (week of January 19, 2026)
- CCI's threat to advance the case without Apple's input if deadlines are missed
Implications for Developers
This standoff directly impacts iOS developers operating in India:
- Commission Structures: If CCI prevails, Apple may be forced to reduce commissions or permit third-party payment processors, lowering developer costs
- Compliance Complexity: Differing national regulations (EU's DMA, South Korea's enforcement) create fragmented compliance requirements
- Market Access: India represents Apple's fastest-growing major market; policy changes could accelerate iOS adoption among price-sensitive users
- Precedent Setting: A ruling against Apple could empower regulators in other emerging markets to pursue similar cases
Apple's legal challenge regarding penalty calculations will be heard by Indian courts on January 27. Possible outcomes include:
- Scenario 1: Court upholds CCI's penalty methodology → Apple likely negotiates settlement
- Scenario 2: Court sides with Apple → Case refocuses on evidence rather than fine structure
- Scenario 3: CCI proceeds without Apple's input → Risk of unilateral decision unfavorable to Apple
Regardless of outcome, the investigation signals India's increasingly assertive tech regulation stance following the Digital Markets Act framework. For developers, it underscores the importance of:
- Monitoring country-specific compliance requirements
- Budgeting for potential commission structure changes
- Evaluating multi-platform strategies to mitigate ecosystem risk
The CCI's ultimatum represents a critical inflection point in a three-year investigation that could reshape Apple's operations in a market projected to exceed 350 million smartphone users by 2027.
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