Russia warns Apple of $51.6 million fine over default iPhone setup apps

Russia’s competition authority has warned Apple that it could face a financial penalty if it does not change how iPhones are configured for users in the country. The notice focuses on how devices arrive with software choices already in place, with officials arguing that domestic digital services are not being given equal space at the point of setup. Search tools and a locally developed messaging app called Max have been singled out as examples of services that should appear more prominently when a phone is first activated.Reuters reported that the demand carries a deadline in mid-July and a possible fine of up to 4 billion roubles, roughly $51.6 million. The dispute sits within a wider pattern of scrutiny over how global technology platforms manage default applications across different markets. No formal admission of wrongdoing has been made publicly by Apple so far, and the company has not set out any detailed response to the latest warning.Regulators seek changes in Apple device setup The focus is not on individual applications in isolation but on the initial configuration that comes with new devices. Regulators want more visibility for Russian-built software during the first stages of use, when users are choosing which services to rely on.The concern being raised is that preinstalled arrangements can influence habits long before alternative downloads are considered. Search engines and messaging tools developed domestically are central to that argument, with officials saying they should not be treated as secondary options buried behind global defaults.Apple Inc has been asked to adjust that setup process so local services are not disadvantaged when a device is switched on for the first time. Russia sets 15 July 2026 compliance window before potential finesThe warning comes with a clear timeframe. Mid-July is the point at which regulators expect to see changes, or else enforcement measures could follow. The figure being discussed, up to 4 billion roubles, is presented as the maximum possible fine under the current proceedings.Officials have not described the penalty as immediate or automatic, but rather dependent on whether the company complies within the set period. Debate grows over control of preinstalled app ecosystemsThe issue extends beyond a single company or a specific set of apps. It touches on how smartphone ecosystems are built and how much control manufacturers retain over what users see first. Those default screens, often overlooked, are now a recurring point of regulatory attention in several jurisdictions.In this case, the emphasis is on ensuring that domestic services are not overshadowed by global platforms embedded into operating systems. Search and messaging are particularly sensitive areas, given how quickly users settle into habits once a device is activated.For Apple Inc, the challenge sits in balancing consistent global software design with country-specific requirements that can shift depending on local policy priorities.Get the latest technology news and updates. Download the TOI App.