Apple has to face antitrust challenge in India for allegedly abusing its dominant position in the apps market by forcing developers to use its proprietary in-app purchase system, according to a source and documents.
Cupertino headquartered Apple has faced a similar case in European Union, as Apple mandates 30% in-app fee that hurts app developers-filing. India’s watchdog to review the case, decide on the next steps of action.
The allegations are similar to a case Apple is facing in the European Union, where regulators last year started an investigation into Apple’s imposition of an in-app fee of 30% for the distribution of paid digital content and other restrictions.
The Indian case was filed by a little-known, non-profit group that argues Apple’s fee of up to 30% hurts competition by raising costs for app developers and customers, while also acting as a barrier to market entry.
Unlike Indian court cases, filings and details of cases reviewed by the Competition Commission of India (CCI) are not made public. Apple and the CCI did not respond to a request for comment.
In the coming weeks, the CCI will review the case and could order its investigations arm to conduct a wider probe, or dismiss it altogether if it finds no merit in it, said a source familiar with the matter.
The Apple case in India comes just as South Korea’s parliament this week approved a bill that bans major app store operators like Alphabet Inc’s Google and Apple from forcing software developers to use their payment systems.