Apple withholds data in India antitrust case, CCI sets final hearing

NEW DELHI - Apple has not submitted data sought by India's antitrust body after an investigation found the U.S. firm abused its dominant position in the iPhone apps market, prompting the watchdog to fast-track a decision on penalties to a final hearing next month, an order ‌shows.

The Competition Commission ⁠of India (CCI) ⁠said in an April 8 order that Apple has not submitted details of its financials and its views on the investigation since October 2024, ​and instead cited a separate case pending in the Delhi High Court where the company has challenged India's entire antitrust penalty law.

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The ​CCI typically requires financial information from companies to calculate penalties when they are found to have contravened the law.

Apple, which denies any wrongdoing in the case, has said it fears it could be fined up to $38 billion if ​the watchdog uses its global turnover to calculate penalties in the case.

Apple ⁠has "been afforded adequate ‌opportunities to file" its objections or suggestions to the investigation report and has also "not submitted ​the requisite financial ​information," said the CCI order, which is not public but was reviewed by Reuters.

Apple ⁠and the CCI did not respond to Reuters queries.

The Indian case is among ​the many Apple faces around the globe for alleged antitrust breaches. India is ​a key market for Apple where its iPhones have an 9% market share, compared to just 4% two years ago, Counterpoint Research says.

Although the CCI has given Apple two more weeks to file its responses, it has for the first time fixed a final hearing date of May 21.

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HEARING DATE SIGNIFICANT STEP

Lawyers said the setting of a final hearing date signals the watchdog is hardening its stance.

"Apple has the opportunity right now to submit its financials supported ‌by an auditor's certificate and then argue on quantum of penalty during the hearing based on these financials," said Gautam Shahi, an antitrust partner at Dua Associates.

"In case it fails, its ​arguments on quantum ​of penalty will be constrained accordingly."

The ⁠Apple case started way back in 2021 after a non-profit group opposed Apple's practices. Later, Tinder-owner Match and Indian startups also opposed Apple.

CCI investigators issued a report in 2024 that Apple exploited its dominant position in the apps market ​by forcing developers to use its proprietary in-app purchase system.

Apple denies wrongdoing by arguing it is a small player in India, where phones that use Google's Android system are dominant.

In its April 8 order, the watchdog also noted Apple requested the CCI in March to put its proceedings "in abeyance" while the Delhi High Court hears its challenge to penalty law.

The CCI rejected that demand. The watchdog has maintained that Apple is trying to stall the antitrust case by challenging the penalty law.