India orders antitrust probe into Google Play app shop billing practices www.deekpay.com

## India's antitrust agency probes Google: excessive service charges, discriminatory policies Recently, India's antitrust regulator (CCI) ordered an investigation into Google due to a dispute between Google and Indian developers over its in-app billing system, and the agency found Google's policies to be "unfair" and "discriminatory". The CCI noted that Google appeared to have violated India's antitrust laws and asked its investigative arm to complete its probe within 60 days. The move comes in response to complaints from a number of Indian app developers and industry organisations, who accused Google of charging excessive service fees and having discriminatory policies. It is learnt that Google had previously taken down more than 100 apps from India because they "had not been complying with Google's billing policies". Although Google later re-listed the apps, the developers had to promise to comply with the Play Store's billing policies. The developers then turned to the CCI to investigate the matter. The CCI's allegations centred around the Google Play shop's billing system for in-app purchases and paid apps. The agency claimed that Google charged app developers service fees ranging from 10%-30%, which was not commensurate with the economic value of the services provided by the company. In its order, the CCI stated, "Given app developers' complete reliance on the Google Play shop, the prices Google charges seem inherently unfair." The agency also argued that Google is enforcing its policy in a discriminatory manner by treating apps that offer digital goods and services differently from apps that offer physical goods and services, despite the fact that they offer similar facilities on the Play Store. Notably, India is one of Google's largest markets in terms of user base and a market where Google has long faced anticompetitive allegations.2022 The CCI has penalised Google with fines of over $275 million for abusing its dominant position in the Android smartphone market and its dominance of the Google Play shop. Google has previously defended its Play Store policy, saying that service fees support its investment in Android and the Play Store, enabling it to provide developers with tools and a global platform. However, Indian app developers believe that Google's approach is stifling the startup ecosystem in India and they have no choice but to accept Google's terms. The CCI's findings will have a significant impact on Google's business in India and will serve as a lesson for other national and regional regulators.