Apple Challenges India’s Antitrust Penalty Law In Court
Apple has approached the Delhi High Court challenging India’s amended antitrust penalty framework, which allows the Competition Commission of India (CCI) to impose fines based on a company’s global turnover instead of only its India revenue. The company argued in its filing that the new rule is arbitrary and disproportionate.
Risk Of Fine Up To $38 Billion
Under the revised law, CCI can levy penalties up to 10 percent of a company’s average global revenue from the previous three years. For Apple, this could translate into a potential exposure of nearly $38 billion, making it one of the biggest possible fines under India’s competition regime.
Case Tied To Ongoing Competition Probe
The petition comes while Apple is being investigated by the CCI for alleged anti-competitive practices in its App Store policies. The regulator has previously indicated concerns about Apple’s dominance in the app ecosystem. Apple denies wrongdoing and argues that basing fines on global turnover is unfair, especially since its India revenue forms a small portion of its worldwide business.
What The Decision Could Mean
Legal experts say the outcome of the case will have major implications for multinational companies operating in India. A ruling in Apple’s favour may restrict the scope of financial penalties in future cases, while a rejection could significantly strengthen India’s competition law enforcement.
