Apple’s App Store Under Renewed Antitrust Scrutiny in Chinese Market

Regulatory Challenge Targets Apple’s Chinese App Store Operations

A prominent Chinese law firm has escalated its antitrust battle against Apple by filing a new complaint with the State Administration for Market Regulation (SAMR), marking a strategic shift from previous unsuccessful civil litigation. The complaint, submitted on behalf of 55 Chinese iPhone and iPad users, alleges that Apple maintains an illegal monopoly over iOS app distribution in China through its exclusive control of the App Store ecosystem.

The legal action represents a significant antitrust challenge to Apple’s business practices in one of its most crucial international markets. According to the filing, Apple not only controls all app distribution for iOS devices in China but also restricts developers from implementing third-party payment systems while charging commissions of up to 30% on digital transactions.

From Courtroom to Regulatory Arena

This new administrative complaint follows the dismissal of a similar civil case earlier this year. In 2021, individual plaintiff Jin Xin, represented by attorney Wang Qiongfei, had sued Apple demanding the complete cessation of App Store fees and payment of damages. That lawsuit was ultimately dismissed by a Shanghai court in 2024 after a lengthy legal process.

Wang Qiongfei has now adopted a different legal strategy, telling media outlets that the regulatory complaint aims to prompt enforcement action from Chinese authorities rather than seeking a civil judgment. “The administrative route offers a potentially faster and more effective mechanism for addressing competition concerns,” Wang explained in statements to Reuters.

Comparative Arguments Highlight Global Discrepancies

The new complaint introduces a compelling comparative dimension, arguing that Apple operates a more restrictive App Store policy in China than in other jurisdictions where regulatory pressure has forced concessions. The filing specifically notes that Apple has begun allowing alternative payment methods and sideloading in the European Union following enforcement of the Digital Markets Act, while maintaining its closed ecosystem in China.

This global comparison represents a sophisticated legal argument that could resonate with Chinese regulators. As market structures and fee models face increasing scrutiny worldwide, the complaint positions Apple’s Chinese operations as notably restrictive compared to its practices in other regulated markets.

Parallel Legal Proceedings and Timing Expectations

While pursuing the regulatory complaint, Wang is simultaneously appealing the 2024 dismissal to China’s Supreme People’s Court, which heard arguments in December. No ruling has yet been issued in that appeal, creating parallel legal tracks that could potentially influence each other.

Wang expressed confidence that the regulatory complaint would proceed more quickly than the previous civil action, suggesting that the SAMR might be more responsive to competition concerns than the court system. The timing is particularly significant as Apple navigates increasing regulatory pressure across multiple markets while maintaining its position in China’s competitive smartphone ecosystem.

Broader Industry Implications

The case emerges amid significant industry developments in digital platform regulation worldwide. As browser engines and app distribution models evolve, the complaint against Apple reflects broader tensions between platform operators and regulatory authorities seeking to ensure competitive markets.

Recent technology innovations in alternative distribution methods have highlighted the possibilities for more open ecosystems, potentially strengthening the arguments of those challenging Apple’s current model. The outcome of this case could influence how global technology companies structure their operations in China and other markets facing similar regulatory scrutiny.

Looking Forward

The renewed antitrust challenge comes at a critical juncture for Apple’s operations in China, where the company faces both regulatory headwinds and increasing competition from domestic smartphone manufacturers. The case’s progression will be closely watched by industry observers, developers, and competitors alike, as it could potentially reshape the rules governing app distribution and payment systems in one of the world’s largest digital markets.

The resolution of this complaint may establish important precedents for how Chinese regulators approach dominant digital platforms and their business practices, with implications extending far beyond Apple’s specific circumstances to affect the broader technology landscape.

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Note: Featured image is for illustrative purposes only and does not represent any specific product, service, or entity mentioned in this article.

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