Indian Regulators Set Antitrust Proceedings, Apple Secures Multi-Year Gemini AI Deal
Indian regulators warned they will proceed with an antitrust case after Apple failed to respond for over a year, risking fines and restrictions in its second-largest smartphone market. Apple struck a multi-year deal to integrate Google's Gemini AI into next-gen Foundation Models, aiming to enhance Siri and Apple Intelligence.
1. India Issues Final Antitrust Warning to Apple
According to a confidential order dated January 10, 2026, India’s Competition Commission has issued Apple a final warning that it will formally proceed with an antitrust case unless the company cures deficiencies in its submissions within 30 days. Regulators allege Apple has delayed responses to information requests for over a year, failed to produce full data on App Store commission structures and undermined the investigation by providing incomplete transaction records. If the case moves forward, Apple could face fines up to 10% of its annual revenue in India and be ordered to alter its in-country operations, including App Store policies affecting more than 150 million active iPhone users in the market.
2. Apple and Google Forge Long-Term AI Collaboration
On January 12, 2026, Apple announced a multi-year partnership with Google to integrate Google’s Gemini AI models and cloud infrastructure into the next generation of Apple Foundation Models. The deal will underpin a redesigned Siri and a suite of Apple Intelligence features scheduled to roll out in late 2026, aiming to deliver more personalized and context-aware assistance. Under the agreement, Google will host training workloads on its private cloud compute, while Apple retains all user data processing on-device to uphold its privacy standards. Wedbush analyst Dan Ives has estimated that licensing fees could contribute up to $500 million in incremental revenue for Apple over the next two years.
3. Apple Launches Creator Studio Subscription Bundle
On January 13, 2026, Apple introduced Creator Studio, a new subscription bundle offering access to Final Cut Pro, Logic Pro and Pixelmator Pro on Mac and iPad. Priced at $12.99 per month or $129 annually—with discounted rates of $2.99 per month or $29.99 per year for students and educators—the service will be available starting January 28, 2026, and includes a one-month free trial. Apple’s services segment, which generated $28.8 billion in revenue in the September quarter, views Creator Studio as key to boosting recurring revenue amid intensifying competition from Adobe, CapCut and other mobile-focused creative apps. Family sharing for up to six users and cross-device project syncing are highlighted as differentiators against rival offerings.