The Competition Commission of India (CCI) has taken a strong stance in defending its global turnover-based penalty framework, opposing Apple's legal challenge that could expose the tech giant to fines of up to $38 billion. The antitrust regulator told the court that the 2024 law serves as a crucial deterrent against breaches by multinational corporations.

CCI's Defense of Global Turnover Framework

In a December 15 court filing, the CCI provided its most detailed rationale for the controversial penalty structure. The regulator argued that the law "aligns Indian competition law enforcement with established international practice," emphasizing that India-specific turnover calculations fail to provide adequate deterrence for global digital firms.

The CCI's position centers on ensuring penalties maintain "real deterrent value in complex, digital and cross-border markets, rather than becoming nominal or easily absorbable for large multinational players." This approach mirrors practices adopted in the European Union and reflects growing global consensus on antitrust enforcement.

Apple's Challenge and Potential Financial Impact

Apple initiated its legal challenge in November, requesting judges strike down the 2024 legislation. The company's concerns extend beyond its own case, as the law could significantly impact other multinational firms including Pernod Ricard, Publicis, and Amazon currently under antitrust investigation.

The substantial fine potential stems from a CCI investigation that concluded Apple misused its dominant position on its app store. Apple has consistently denied these allegations while challenging the penalty calculation methodology.

Retrospective Application Dispute

A significant point of contention involves Apple's allegation that the CCI illegally applied the new law retrospectively in another case. The competition watchdog firmly rejected this claim, stating it has always possessed authority to impose fines up to 10% of a company's turnover.

"Clarificatory provisions operate retrospectively as they explain the true intent of the legislature," the CCI stated in its filing. The regulator maintains that recent legal changes merely clarified existing turnover definitions rather than expanding penalty powers.

Information Disclosure Controversy

The CCI has accused Apple of attempting to mislead the court regarding information requests. While acknowledging its authority to base penalties on global turnover, the regulator claims it only sought "India-specific financial details" from Apple.

Apple disputes this characterization, arguing that the turnover details requested under the new law could expose the company to significantly higher penalties. This disagreement highlights the complex interplay between information disclosure requirements and penalty calculations.

Broader Implications for Multinational Companies

The case represents a critical test of India's evolving antitrust enforcement approach. The outcome could establish important precedents for how global technology companies and other multinationals face regulatory scrutiny in one of the world's largest digital markets.

The Delhi High Court's decision, expected following the January 27 hearing, will determine whether India's penalty framework aligns with international standards or requires modification to address concerns about proportionality and retrospective application.

Apple is reportedly planning to introduce 200MP camera technology in its iPhones by 2028, according to a Morgan Stanley investor note seen by AppleInsider. The high-resolution cameras are expected to debut on the iPhone 21 Pro and Pro Max models, marking a significant upgrade from current camera specifications.

Camera Technology Timeline Extended

The 2028 timeline represents a shift from earlier predictions that suggested 200MP cameras would arrive with the iPhone 18 series. This extended development period reflects Apple's strategic approach to implementing advanced camera technology while ensuring supply chain diversification.

Supply Chain Diversification Strategy

According to the report, the extended timeline enables Apple to diversify suppliers beyond Sony, whose technology reportedly lags Samsung's in the 200MP camera sensor area. Samsung is expected to supply the advanced camera sensors and could potentially manufacture the CMOS image sensors at its Austin, Texas plant, supporting Apple's goal of shifting more production to the United States.

Apple is also reportedly in discussions with STMicroelectronics as a potential secondary LiDAR supplier, while Sony currently supplies LiDAR sensors for iPhones. Face ID sensors are expected to remain exclusively with LITE.

Strategic Business Implications

These supply chain modifications aim to secure component availability, reduce costs, and enable Apple to absorb rising expenses without implementing price increases. This approach aligns with Apple's strategy for the iPhone 17, where base storage capacity was increased to balance tariff impacts while maintaining pricing similar to the iPhone 16.

The Morgan Stanley report also anticipates that under-display Face ID technology will arrive in 2027, coinciding with the iPhone's 20th anniversary milestone.

Production and Manufacturing Details

While the exact 200MP sensor model remains unspecified and may not yet be announced, U.S. production by Samsung represents a strong possibility for future iPhone manufacturing. This domestic production capability supports Apple's broader supply chain resilience and cost management objectives.