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Competition Commission of India to announce that Apple committed antitrust violations with the App Store
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  • Competition Commission of India to announce that Apple committed antitrust violations with the App Store

Competition Commission of India to announce that Apple committed antitrust violations with the App Store

FP Staff • January 3, 2025, 11:17:57 IST
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The dispute began when TWFS argued that Apple’s App Store rules and fees were anti-competitive. In 2024, the CCI released a preliminary report siding with TWFS, accusing Apple of abusing its dominant position in the digital market

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Competition Commission of India to announce that Apple committed antitrust violations with the App Store
While it remains unclear whether the CCI will impose fines on Apple, the regulator is expected to order changes similar to those it demanded from Google. In that case, Google was required to open its Play Store to third-party payment systems. Image Credit: Apple

Apple’s control over its App Store may soon face a major regulatory challenge in India. The Competition Commission of India (CCI) is reportedly ready to announce that Apple violated the country’s antitrust laws by enforcing restrictive payment rules on app developers. This decision follows a complaint lodged in 2021 by the advocacy group “Together We Fight Society” (TWFS), accusing Apple of using its App Store to unfairly stifle competition and benefit from its dominant market position, as reported by Apple Insider.

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The case highlights growing global scrutiny of tech giants like Apple and their influence over digital ecosystems. Central to the complaint is Apple’s policy requiring developers to use its in-app payment system, which many argue inflates costs and limits choice. As India’s regulators gear up for a final verdict, the decision could have wide-ranging implications for how Apple operates in one of the world’s largest and most competitive digital markets.

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A long road to the verdict

The dispute began when TWFS argued that Apple’s App Store rules and fees were anti-competitive. In 2024, the CCI released a preliminary report siding with TWFS, accusing Apple of abusing its dominant position in the digital market. However, the investigation took a contentious turn when Apple alleged that the CCI had disclosed confidential company information, including sensitive sales data, to third parties like TWFS.

Apple demanded that the CCI withdraw the report and close the investigation, but the regulator refused, calling the request “untenable.” Tensions escalated further when Apple accused TWFS of failing to destroy the confidential report as instructed, urging the CCI to take action against the group. Despite these distractions, the CCI pressed forward, inching closer to a final decision.

Findings and possible fallout

According to insiders, the CCI’s report concludes that Apple’s App Store policies breach India’s competition laws, specifically by mandating the use of its in-app payment system. A confidential version of the findings has been shared with Apple, giving the company a chance to respond before final hearings.

While it remains unclear whether **the CCI will impose fines** , the regulator is expected to order changes similar to those it demanded **from Google** . In that case, Google was required to open its Play Store to third-party payment systems. If Apple faces the same directive, it may be forced to make its App Store more accessible to other payment options, mirroring measures already implemented in the European Union and Japan.

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Apple’s defence and the bigger picture

Apple is likely to argue that its small market share in India — reportedly under 5 per cent — means it lacks the dominance required for an antitrust violation. However, the CCI has previously dismissed such arguments, as seen in its case against Google.

This decision could mark a significant shift for Apple in India, a growing but competitive market. Beyond potential penalties, it underscores the increasing global pressure on tech giants to relax control over their ecosystems. For developers and consumers, the outcome could mean lower fees and more payment options — but for Apple, it’s yet another challenge in an already fraught regulatory landscape.

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