^{The first day of sale of the iPhone 15 smartphone in Mumbai, India, on Sept. 22, 2023.}

^{Dhiraj Singh | Bloomberg | Getty Images}

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Apple Takes Its Battle to the Delhi High Court

Apple has escalated its battle with India’s competition authorities by filing a case in the Delhi High Court to challenge the methods used by the Competition Commission of India (CCI) to calculate potential penalties. Under the country’s updated antitrust framework, fines can be based on a company’s global turnover, exposing Apple to an eye-watering penalty estimated at up to $38 billion.

The company argues that this approach is unconstitutional and disproportionate, claiming that applying global revenue as the basis for fines bears no reasonable connection to activities within India. Apple maintains that penalties should be proportionate to local operations rather than international earnings, especially in a market where the company’s share is expanding but still significantly smaller than Android-based rivals.

Apple did not offer public comment on the filing, but sources speaking to international media say the company intends to push for a more “reasonable and jurisdiction-specific” interpretation of penalty guidelines.

Why India Is Investigating Apple

India’s antitrust scrutiny stems from complaints filed by an alliance of domestic startup founders and global firms including Match Group, the parent company of Tinder. These groups allege that Apple enforces restrictive practices through its App Store ecosystem, particularly the mandatory use of Apple’s in-app payment (IAP) system, which charges commissions that critics say hinder competition and reduce developer autonomy.

In its preliminary findings released in late 2021, the CCI stated that Apple’s requirement for developers to use its payment system appears to limit choice and could violate Indian competition laws. Apple, however, has consistently denied all accusations of anti-competitive behavior, arguing that the App Store’s policies are designed to protect users, ensure secure transactions, and maintain a uniform quality standard.

The CCI has yet to issue a final ruling, but industry analysts expect that any decision could set a major precedent, not only for India but for other emerging markets grappling with Big Tech dominance.

Apple’s Rapid Expansion in India Adds Pressure

India has become one of Apple’s fastest-growing markets, and the company’s footprint in the country has deepened significantly over the past three years. According to IDC, Apple shipped a record 5 million iPhones in the third quarter of 2025, marking its strongest performance in the country’s history. Analysts project full-year sales of around 15 million units, potentially placing Apple among the top five smartphone brands in India for the first time.

This momentum aligns with the company’s broader strategy of reducing dependence on China-based manufacturing. Apple has rapidly expanded partnerships with Indian factories, and its exports from India reached an estimated $12.8 billion in 2024, rising more than 42 percent from the previous year.

The court challenge arrives at a pivotal time for Apple, as the company pushes to strengthen its manufacturing base, deepen retail expansion, and position India as a critical long-term market. A penalty of the proposed magnitude could create significant financial strain and force major operational adjustments.

What Comes Next

The Delhi High Court is expected to review Apple’s petition in the coming weeks, though the matter may take months to resolve fully. Meanwhile, the CCI is continuing its broader investigation as it prepares a final ruling that could reshape app marketplace rules in one of the world’s fastest-growing digital economies.

For Apple, the outcome is likely to influence not only its financial exposure but also its future strategy in India, where the company sees a rare combination of rising demand, government support for manufacturing, and long-term growth potential.