India Orders Unusual Recall of Apple Antitrust Probe Reports

India's antitrust body has unexpectedly instructed a recall of investigation reports that indicated Apple violated competition laws, reports Reuters. This action follows a complaint from Apple about its commercial secrets being disclosed to competitors, including Match, the owner of Tinder.

Delayed Antitrust Process

The antitrust procedure began in 2021. It has experienced numerous delays and focuses on allegations that Apple abused its dominant market position. Developers were reportedly forced to utilize Apple's in-app purchase system, with fees reaching 30%.

On August 7, an order revealed first by Reuters was issued, instructing Apple's rivals in the investigation to return all relevant reports. The Competition Commission of India (CCI) stressed the importance of maintaining confidentiality. "It is imperative that such information be maintained confidential to prevent unauthorised disclosure," stated the four-page order signed by CCI's top officials.

Concerns Over Confidential Information

The order does not specify what confidential information Apple referred to. However, a source knowledgeable about the situation disclosed concerns primarily about disclosing revenues from Apple's India app store and market share data.

Reports from July indicated that the antitrust investigations unit produced two critical reports in 2022 and 2024. These analyzed how Apple capitalized on its leading market position within its iOS app stores.

Among those asked to return the reports are Match and the Indian startup group ADIF, representing financial giant Paytm. This recall follows Apple's private complaint to the CCI, claiming documents shared with other parties included "Apple's confidential commercial-sensitive information." The company requested the CCI to recall and withdraw these reports, as reported in the order.

Potential Impact and Delays

The recall of previously distributed reports is rare and necessitates redacting confidential information, according to three Indian lawyers knowledgeable about the CCI process and one government source.

"This is very unheard of," remarked one attorney, speaking anonymously. "We are looking at two to three months of delay, easily."

The reports, crucial to the investigation, included findings from 2022 and 2024 that determined Apple's behavior constituted "abusive conduct and practices." It found that Apple’s payment policy adversely impacts app developers, users, and other payment processors.

Apple’s Global Antitrust Challenges

Apple maintains it has done nothing wrong, claiming to be a minor player in India, where Android devices are predominant. As of mid-2024, iPhones make up approximately 3.5% of India's 690 million smartphones, according to Counterpoint Research. However, the research highlights that Apple's domestic smartphone base has increased fivefold over the past five years.

Overall, Apple continues to face significant antitrust scrutiny worldwide. European Union antitrust regulators announced in June that the company violated EU tech regulations, potentially leading to substantial fines. Apple is also facing an inquiry regarding new fees imposed on app developers.

Earlier SSP reported that OpenAi expresses concern over potential emotional dependence on Chatgpt's voice mode.