CCI Finds Google’s Billing System ‘Unfair and Discriminatory’: Report
The Competition Commission of India (CCI) has reportedly found Google’s app billing to be “unfair and discriminatory”. That’s according to a new report onBloombergciting reviewed documents regarding the matter. The update comes after CCI’s investigation in response to complaints from developers.
CCI Finds Google’s Billing System ‘Unfair and Discriminatory’
“Google’s conduct is also resulting in denial of market access to competing UPI apps since the market for UPI enabled digital payment apps is multi-sided, and the network effects will lead to a situation where Google Pay’s competitors will be completely excluded from the market in the long run,”said CCI, according to the report.
To recall, CCI started the investigation afterover 200 startup founders started discussions with the government to stop the 30% cut Google receives on in-app purchases. The development happens months afterFortnite maker Epic Games sued Googlefor its app store policies.
Although CCI didn’t comment on the report, Google issuedBloomberga statement on the allegations.“We will continue to engage with the CCI and demonstrate that our practices benefit Indian consumers and developers, without in any way restricting competition,”Google said in the statement.
With that said, it’s worth mentioning thatGooglestarted a pilot program last monthto let developers choose their own billing systemsfor customers, in addition to what Google offers. However, it is still in the nascent stages and is limited to a small audience now, with Spotify being the first company to join in. We will have to wait to see if Google would expand the program to India in response to the antitrust watchdog’s report.
Subin B
Subin writes about consumer tech, software, and security. He secretly misses the headphone jack while pretending he’s better off with the wireless freedom.
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