Like Google, Apple may now be asked by CCI to change app store policy

The Competition Commission of India (CCI) is about to complete its investigation into the billing policies of Apple and its app store, a report in the Economic Times (ET) said, citing people aware of the matter. The iPhone maker may, like Google, be asked to change its app and commission policies by the competition regulator.

In December 2021, CCI had initiated a probe into Apple’s policies following allegations by Together We Fight Society about its high commission and lack of third-party options. Later, some other companies also filed similar cases.

“The findings of the probe are very much in line with what the CCI said on the Google Play billing issue,” a person aware of the matter told ET. They added that the only reason why the findings have not been revealed yet is the absence of a sitting chairperson for the CCI. The post has remained empty since October 25, 2022.

The findings have not yet been shared with the CCI board. Ultimately, the decision in the matter will be taken by the board only.

On October 25, CCI imposed a penalty of Rs 936.44 crore on Google for abusing its dominant position in the Android market. In India, Android has a market share of 95.1 per cent. In the ruling, CCI asked the tech giant to change its billing process for Google Play Store and allow other app developers to use a third-party payment processor.

The ET report added that Apple may be subjected to a similar penalty. Moreover, the Centre is also mulling changes in the formula used for calculating penalties.

Currently, a penalty of up to 10 per cent of a company’s average turnover is imposed by the CCI. Now, the penalty may be imposed on the basis of the company’s global turnover. Apple’s global turnover was $39.4 billion as of October 2022.