Apple may be forced to allow third-party App Stores in India

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Tim Cook in India

The Competition Commission of India (CCI) is reportedly nearing the conclusion of its antitrust investigation into App Store, and is expected to conclude that Apple must open it up to rival alternatives.

Apple's App Store has been under CCI investigation in India since September 2021, when it was launched in response to a complaint from non-profit organization, "Together We Fight Society."

Now according to the Economic Times of India, that investigation is seemingly in its final stages. The publication reports that the CCI is currently reviewing a report on the investigation.

Unspecified legal sources, seemingly not involved in the case, told the Economic Times of India that the next step will be for Apple to be called to make a submission. It's not clear how this will differ from any previous submissions by Apple, nor how long it will take before any ruling is finalized.

However, the same sources predict that that ultimately the CCI will repeat how it previously directed Google to allow third-party payment systems on the Google Play Store. Apple would therefore be required to open up its App Store to alternative payment systems instead of requiring developers to exclusively use its own.

In 2022, Apple complied with South Korean authorities and allowed developers to use rival payment systems. Even then, Apple limited the option to apps distributed exclusively in South Korea," and it still levied a 25% fee.

This move to affect Apple's distribution of software, comes just as India is working to increase production of its hardware. The most recent figures claim that India is on track to export one in every five iPhones, by 2025.

Apple is believed to be preparing for a wider roll out of alternative payment systems in the App Store, as Europe's Digital Markets Act is expected to require it from 2024.

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