Apple is currently being investigated by the Competition Commission of India after a customer complained to the organization under Section 4 of the Competition Act 2002. While this might be some bad news for Apple who might have to answer to Commission, it’s actually a ridiculous complaint and the reporting by PTI is hilarious and innaccurate.
Here is the complaint according to PTI
Apple is curbing the customer’s choice by limiting the availability of iPhones and iPads in India to a limited number of service providers, besides its signature stores.
A senior CCI official who spoke to PTI said that
“The complainant has also alleged that a user can only download software from the i-store and the others are not recognised by the device,”
The note also says
Besides, Apple phones could only be serviced in Apple centres, which in turn charge high rates for servicing.
Lets get some basic facts right !
- Apple does not operate any stores in India. Apple only imports the products and supplies them to the distributors who then supply it to resellers / retailers.
- iStore by Reliance Digital , Imagine Store (RSG Infotech) which also operates under Ample India brand , Croma are examples of resellers
- Airtel is India’s largest private mobile operator but Aircel is a relatively smaller operator. Both have a large subscriber base. I would see a reason to complain if the iPhone 4 was launched on say Uninor or Videocon which i’m sure would never happen.
- The reason according to our sources as to why Apple went with Airtel and Aircel is because both have 3G licenses in 13 circles.
- BSNL which is a PAN-India operator tied up with Apple to offer dedicated plans for the iPad when it was launched in January this year.
- The iPhone 3G and 3GS which was sold through Airtel and Vodafone until last year was locked to the networks.
- The iPhone 4 is sold unlocked in India. You can buy it from a reseller , Airtel or Aircel without having to enter into a contract.
- The iPad and iPad 2 is also sold unlocked ( 3G models)
There is a huge demand world wide for the iPad2. Stocks are low not only in India but also worldwide. I had to run to 6 stores before I got my iPad2 when in the US last month. But still stocks are lower in India due to lower demand compared to other larger markets.
- Apple has an iTunes app store for India where you can use your credit card to purchase Applications. You can also download free applications from the AppStore.
- The iTunes Music store does not work in India due to licensing / copyright issues.
Complaining that you can download apps for the iPhone only from the App Store and that other ways don’t work is so silly. It’s like buying a petrol car and complaining that it wont run on Diesel. Each and every mobile platform has an app store now. Nokia OVI Store, Android Market and BlackBerry AppWorld work in a similar manner. Side loading is possible in most platforms but can void warranty. Yes, the iPhone Platform is restricted but that’s how it is built and it’s one of the reasons for it’s success.
The complaint about service centers is again lame. Take any piece of electronic equipment and especially phones. The moment you take the unauthorized route to get it fixed, you void your warranty. Apple service centers are one of the best in the world. In India , they have Apple Authorized Service centers. I have had my mac’s battery replaced for free. Recently, my iPhone was disabled and I was at a Imagine store at Bangalore. They checked my iPhone 4 for free and told me the only solution was to restore it or sync it to my authorized iTunes computer. I chose not to restore it and came back home and fixed it myself. But still they at least guided me without charging anything. But i have heard from some sources that for some issues they ship phones to Singapore for servicing.
Lets see what the Section 4 of the Competition Act talks about
In the past , I have been known to criticize Apple for not bringing the iPhone to India and not taking India seriously. For once I feel Apple is taking India seriously because all of it’s latest products including the iPhone 4 and iPad 2 are available in the market. Apple India has also done a decent job with pricing recently unlike few years back when only the really rich could afford to buy Apple stuff in India.
The Commission is due to take up the matter for consideration by the end of this week and it will be certainly interesting to see how the case shapes up !