Apple challenges India’s antitrust penalty law — could face up to $38 billion fine, files plea in Delhi High Court

News Updates: Apple has filed a petition in the Delhi High Court to strike down a 2024 amendment that allows India’s Competition Commission (CCI) to use global turnover when calculating penalties — a rule Apple says is “unconstitutional, grossly disproportionate and unjust.” The company says the change could expose it to penalties as high as $38 billion. Reuters

What Apple is asking the court

Apple’s 545-page filing asks judges to declare the 2024 amendment unlawful and to stop the CCI from applying global-turnover based penalties. The company argues that penalties should be limited to the India-specific revenue of the division accused of wrongdoing, rather than its entire global turnover. Reuters+1

Why the $38 billion figure?

Under the amended law, the CCI may impose fines up to 10% of an enterprise’s average turnover (for specified prior years). Apple estimated that applying that formula to its global services turnover could imply a maximum penalty exposure of roughly $38 billion, a figure it calls “manifestly arbitrary” and

The underlying CCI probe

The CCI’s probe stems from complaints by an alliance of Indian startups and Match Group (owner of Tinder) that Apple’s App Store rules — including mandatory use of Apple’s in-app purchase (IAP) system and commissions up to ~30% — amount to “abusive conduct.” Investigators earlier expressed a prima facie view that Apple’s mandatory IAP restricts app-developers’ choice of payment processors. Apple denies these allegations. Reuters+1

Legal context & why this matters

• If courts uphold the CCI’s power to use global turnover, multinational firms could face far larger penalties in India than under earlier rules — potentially changing how global tech disputes are litigated in the country. Reuters
• Apple says retrospective application of the amended rule (applied to past conduct) is another key reason for urgent relief. The company has urged the court to avoid retrospective imposition of penalties. Reuters

Timeline & next steps

Apple’s plea will be heard in the Delhi High Court on December 3, 2025. The CCI’s final decision on the App Store case is still pending while the court considers Apple’s constitutional challenge. Reuters

Quick quotes (paraphrased from filings & reporting)

• Apple: using global turnover “would be manifestly arbitrary, unconstitutional, grossly disproportionate, unjust.” Reuters
• CCI (investigators’ prima facie view): Apple’s mandatory IAP may restrict developers’ choice. Reuters