**Apple’s Legal Challenge to India’s Competition Law Delayed Until 2026**
The Delhi High Court has postponed the hearing regarding Apple Inc.’s challenge to India’s updated competition law provisions, which permit penalties to be calculated based on a company’s global turnover. The new hearing date is set for January 27, 2026.
A bench led by Chief Justice Devendra Kumar Upadhyaya and Justice Tushar Rao Gedela adjourned the case after senior advocate Abhishek Manu Singhvi, representing Apple, requested additional time to respond to a joint affidavit submitted by the Centre and the Competition Commission of India (CCI). The court instructed the Centre and the CCI to file the affidavit within a week and allowed Apple to submit a counter.
While the details of the affidavit remain confidential, it aims to support the rationale for calculating penalties based on global turnover rather than revenue generated specifically in India.
This legal dispute arises from Apple’s constitutional challenge to amendments made to Section 27(b) of the Competition Act in 2023, along with the Monetary Penalty Guidelines introduced in 2024. These amendments empower the CCI to impose fines of up to 10% of a company’s average global turnover over the last three financial years.
On December 1, the high court had issued a notice to the Union government and the CCI, requesting clarification on why penalties should be linked to global turnover instead of revenue from India. The bench did not grant the CCI’s request for Apple to submit its financial details by December 8 and refrained from commenting on Apple’s plea for protection against potential coercive actions by the regulator.
Apple approached the high court in November after the CCI requested its financial statements as part of an ongoing investigation into the company’s App Store payment policies. This investigation follows complaints lodged between 2021 and 2022 by NGOs, Indian startups, and Match Group, the parent company of Tinder, Hinge, and OkCupid, alleging that Apple abused its dominant market position by requiring the use of its in-app payment system and imposing commissions of up to 30%. The CCI has found preliminary evidence of such abuse, a claim that Apple disputes.
In its petition, Apple cautioned that the revised penalty framework could expose it to fines nearing $38 billion if found guilty. The company argues that penalizing conduct specific to India using global turnover is “arbitrary” and “grossly disproportionate,” especially given that the alleged conduct represents only a small portion of its global operations.
The CCI has opposed Apple’s request, asserting that the company is attempting to delay the proceedings. Senior advocate Balbir Singh, representing the regulator, stated, “We have only asked for India turnover, not global turnover—why are they withholding it?” He emphasized that the investigation is complete and that Apple must comply.
**FAQ**
**Q: Why is Apple challenging India’s competition law?**
A: Apple is contesting the revised competition law provisions that allow penalties to be based on global turnover, arguing that this approach is arbitrary and disproportionate to its India-specific conduct.
