Apple Pushes Back as India’s Antitrust Fight Takes Center Stage

Key Takeaways

• Apple Challenges India’s Antitrust Penalty Rules: Apple argues it is unconstitutional and unjust for penalties to be based on global turnover rather than India-specific revenue.
• Massive Financial Exposure: The company could face fines of up to $38 billion, according to Reuters.
• Ongoing App Store Scrutiny: India’s competition watchdog continues to investigate whether Apple’s in-app payment policies unfairly restrict developer choice.
• High-Stakes Timing: The challenge comes as Apple achieves record iPhone shipments in India and rapidly expands its manufacturing footprint.

Deep Dive

Apple has taken its dispute with India’s competition watchdog to the Delhi High Court, a move first reported by Reuters, arguing that the country’s tougher penalty rules could expose the iPhone maker to fines as high as $38 billion.

At the heart of the case is a major shift in how India enforces antitrust violations. Apple says it is “unconstitutional, grossly disproportionate, unjust” for the Competition Commission of India (CCI) to calculate penalties based on a company’s global turnover, rather than its business footprint inside the country. That difference, the company warns, could turn ordinary enforcement into a crushing financial sanction.

The CCI has been investigating Apple since 2021, when an alliance of Indian startups, joined by Tinder-owner Match Group, complained that the company’s App Store rules constitute abusive dominance. They argue that Apple’s requirement to use its in-app payments system forces developers into high commission fees and limits choice.

Apple rejects those allegations. But in a preliminary finding that year, the CCI said its “prima facie view” was that Apple’s mandate on in-app purchases could unfairly restrict payment options for developers. A final ruling is still pending.

Booming Growth Adds High Stakes

The courtroom drama comes as Apple rapidly expands its presence in India, both as a key sales market and as a manufacturing hub in its global supply chain diversification.

The company posted record iPhone shipments of 5 million units in the third quarter of 2025, according to IDC data. Analysts now expect Apple to sell about 15 million iPhones in India this year, potentially placing it among the country’s top five smartphone brands for the first time.

On the production side, Apple has steadily shifted assembly and exports to India. In 2024, its India-made iPhone exports hit $12.8 billion, more than 42% growth from the previous year.

A Clash with Broader Implications

With a booming local business and rising regulatory pressure converging, the outcome of this fight could shape how India, the world’s fastest-growing major smartphone market, polices global tech platforms.

Developers, startup backers, and multinational companies are watching closely. The ruling won’t just determine Apple’s exposure to a multibillion-dollar fine, it will help define the rules of the road for digital marketplaces in India going forward.

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