India’s antitrust regulator has launched an investigation into Alphabet’s Google for alleged abuse of its dominant position in the country’s online market. The probe focuses on unfair terms and discriminatory practices within Google’s popular app store.
The Competition Commission of India issued an order on Friday, stating that Google may have violated antitrust laws in India. The order was in response to complaints from Indian app developers and industry groups, who have raised concerns about what they see as unfair practices from Google.
Recently, Google removed over 100 apps from ten Indian developers for non-compliance with billing policies. Although the apps were later reinstated, the developers must adhere to Play Store billing policies.
The allegations against Google revolve around its billing system for in-app purchases and paid apps on the Play Store. The regulator claims that Google is charging developers excessive service fees, ranging from 10% to 30%, which may not align with the value of services provided.
Additionally, the commission accuses Google of implementing policies in a discriminatory manner, making arbitrary distinctions between apps that offer digital vs. physical goods and services on the Play Store.
This is not Google’s first run-in with Indian authorities, as the company has previously faced fines for anti-competitive practices in the region. Despite these challenges, Google remains committed to its investments in India and continues to expand its presence in the country.
Google has defended its Play Store policies, claiming that the service fees help fund Android and Play Store developments, benefiting developers with global reach and access to billions of consumers.
