TapTechNews July 12th news, Reuters today claimed to have obtained a 'confidential report' which mentioned an investigation by the Indian antitrust agency. This investigation found that Apple has engaged in abusive behavior, manipulation by taking advantage of its 'dominant position' in the iOS system AppStore.
Since 2021, the Indian Competition Commission has been investigating Apple. Because the company may have abused its dominant position in the app store by forcing developers to use its proprietary in-app purchase system. Apple has previously denied any improper behavior as in the Indian market, Android-based phones are dominant and Apple is just a 'minor player'.
The Indian Competition Commission pointed out in a 142-page report that Apple has 'ignificant influence' in how digital products and services reach consumers, especially through the iOS platform and AppStore.
This report noted that the AppStore is an inevitable trading partner for application developers. Therefore, developers have no choice but to comply with Apple's unfair terms (TapTechNews note: including mandatory use of Apple's own billing and payment systems).
It is reported that a non-profit organization in India, 'TogetherWeFightSociety', believes that Apple's up to 30% in-app charge damages competition by increasing the costs for app developers and customers. In 2021, the Indian Startup Confederation, the Digital India Foundation, and the owner of the dating platform Tinder, Match, all filed lawsuits against Apple, and these lawsuits were heard together.
The Indian antitrust agency pointed out in the report that Apple does not allow any third-party payment processing platform to provide in-app purchase services. In most cases, applications are also not allowed to contain any external links that direct customers to other purchasing mechanisms, which violates Indian competition law.
The report still awaits review by senior officials of the commission. Before the relevant departments make a final decision, Apple and other parties can respond. If it is finally determined to be illegal, Apple will likely be fined and adjust business practices.
Related reading:
'India is about to end the antitrust investigation of the AppStore and is expected to force Apple to open up third-party payments'
'The Indian government orders an antitrust investigation of Apple's AppStore'