India’s antitrust watchdog on Tuesday fined tech giant Google 9.36 billion rupees ($113 million) for abusing its dominant position to promote an in-app payment system.
The Competition Commission of India (CCI) said Google’s Play Store policy requires app developers to use Google’s billing system for apps sold through the Play Store and in-app purchases made by users. .
According to the CCI, app developers will not be allowed to list their apps on the Play Store if they refuse to use Google’s billing system, and they will lose potential customers in the form of Android users. in a statement.
‘Take it or leave it’
Regulators also found that Google engaged in discriminatory practices by not using a billing system for its own applications like YouTube.
“Furthermore, Google doesn’t even negotiate “service fees” with app developers, [a] For app developers, it’s a do-or-die situation,” said CCI. in that order.
The Epoch Times reached out to Google for comment.
The CCI has ordered Google to make necessary changes to its Play Store policies within three months, including allowing app developers to use third-party billing services for in-app and app purchases.
“Google will not impose unreasonable, unreasonable, discriminatory, or disproportionate terms (including pricing terms) to the services provided to App Developers,” it said.
CCI also required Google to be fully transparent in its communications with app developers, the services offered and the fees charged accordingly.
Penalties for previous antitrust violations
The $113 million fine comes just a week after India fined Google $162 million for anti-competitive practices related to the Android operating system.
The CCI accused Google of perpetuating its dominant position in the online search market and preventing other search applications from entering the market. Google also claimed to have a “great competitive edge” over its competitors when it comes to monetizing apps on Android devices, such as YouTube.
“Competitors of these services have not been able to take advantage of the same level of market access that Google has independently secured and built into. [Mobile Application Distribution Agreement],” said.
India aside, South Korea also fined Google 207 billion won ($145 million) last year for blocking a customized version of the Android operating system. South Korea’s Personal Information Protection Commission fined Google last month 69.2 billion won ($48.5 million) for alleged data privacy breaches.