India defends antitrust penalty law in Apple fight

India’s Competition Commission (CCI) has formally defended its controversial antitrust penalty legislation before the Delhi High Court, pushing back against Apple’s legal challenge to the 2024 measure that allows fines based on global revenue. The regulatory body asserts that the law brings Indian competition enforcement in line with international standards and serves as a crucial deterrent against violations by multinational corporations.

In court documents dated December 15, the CCI argued that calculating penalties based solely on India-specific turnover would fail to adequately penalize global digital giants for anti-competitive behavior. The regulator emphasized that this approach ensures penalties ‘retain real deterrent value in complex, digital and cross-border markets’ rather than becoming ‘nominal or easily absorbable for large multinational players.’

Apple initiated legal proceedings in November 2025, seeking to invalidate the law which it claims could expose the company to disproportionate penalties reaching up to $38 billion in a separate case involving alleged App Store dominance. The technology giant contends the CCI is illegally applying the legislation retroactively and that penalties should reflect only India-based operations.

The CCI countered that the legislation merely clarifies existing powers that always allowed penalties of up to 10% of a company’s turnover, and that clarificatory provisions operate retrospectively as they ‘explain the true intent of the legislature.’ The regulator accused Apple of attempting to misguide the court, noting it had specifically requested only India-specific financial details despite its broader authority.

The high-stakes legal battle, scheduled for hearing on January 27, 2026, carries significant implications for other multinational corporations including Pernod Ricard, Publicis, and Amazon, all of which face ongoing antitrust scrutiny in India.