- Apple is challenging India’s antitrust watchdog and the legal basis for global turnover-based penalties as it defends its App Store policies.
- The case raises broader questions about how multinational companies are regulated and penalized in digital markets.
What happened
Apple Inc. has asked the Delhi High Court to prevent the Competition Commission of India (CCI) from seeking its global financial records as part of an ongoing antitrust investigation into its App Store policies. In court filings dated 15 January 2026, Apple argued that complying with the CCI’s request before its legal challenge to the underlying penalty framework is resolved would undermine its argument and prejudice its defense.
The dispute centers on India’s 2024 amendment to the Competition Act, which allows the CCI to calculate penalties based on a company’s worldwide turnover. Apple fears that, if applied to the App Store case, this could result in fines of up to $38 billion—a figure it describes as disproportionate and punitive.
The CCI has already issued a private order, on 31 December 2025, seeking Apple’s financial information, despite the court challenge. Apple wants the probe paused until the court decides on the validity of the 2024 penalty rules, which it says exceed the regulator’s authority. The matter is due for hearing on 27 January 2026.
India’s competition watchdog defends the amended penalty regime as necessary to deter misconduct by multinationals, especially where local revenues are a small fraction of overall turnover. Under the new rules, the CCI can impose fines up to 10 percent of global turnover for competition breaches.
This legal tussle follows actions earlier in December 2025, when Apple challenged the penalty law in another legal filing, arguing it could lead to disproportionate liabilities for conduct that occurred only in India.
Why it’s important: antitrust enforcement and multinational regulation
The confrontation between Apple and the CCI speaks to broader tensions over how digital behemoths are regulated in national markets. With global tech firms operating across borders, regulators have increasingly sought to apply penalties that reflect the scale of a company’s worldwide business rather than its local revenue. Yet this approach is controversial: critics argue it could deter investment, subject firms to punitive penalties for limited or isolated conduct, and effectively extend one jurisdiction’s reach into global corporate strategy.
Apple’s challenge also highlights concerns about due process and legal certainty for multinational firms. If courts allow regulators to demand global financials before the legality of penalty regimes is tested, companies may perceive regulators as having both investigatory and punitive power without clear boundaries—a concern echoed in other multinational cases.
On the other hand, proponents of strong antitrust enforcement argue that without robust penalties, powerful platforms could face minimal consequences for anti-competitive practices that harm local developers and consumers, especially in fast-growing digital markets like India.
The outcome of the Delhi High Court’s review could set an important precedent not just for Apple, but for how other multinational technology companies are held accountable under evolving competition laws in emerging economies.
Also Read: https://btw.media/all/internet-governance/india-steps-up-competition-enforcement-against-big-tech/
