The Competition Commission of India (CCI) has fined Google $162 million as a preliminary penalty for “abusing its dominant position” in a number of areas pertaining to the Indian market for Android mobile devices.
The anti-trust watchdog alleged that Google had misused its dominant position in the licencing of its mobile operating system, the Android app market, general web search services, non-operating system-specific mobile web browsers, and online video hosting services.
The tech juggernaut received cease and desist orders from the CCI about a number of its business activities. For instance, it stated that Google shouldn’t bar “disadvantaged” original equipment manufacturers (OEMs) from using its Play Services plugins and that licencing Play Store to OEMs shouldn’t be contingent on them pre-installing Google search, Chrome, YouTube, Google Maps, Gmail, or any other Google app.
Google will have to let consumers select their preferred search engine at the first setup of a gadget, according to the CCI. It requested that Google refrain from limiting app developers’ ability to distribute their products through side-loading, or making them available outside of the Google Play Store. This is crucial because Google has long advised users against side-loading programmes and described it as being a security risk.
Google has been given 30 days by the CCI to submit the required financial information and accompanying documentation; else, a higher penalty may be assessed.
In India, Google is being sued in a number of antitrust proceedings. The watchdog for fair trade is also investigating Google’s business practises in the market for smart TVs and its in-app payment mechanism.
A thorough investigation was ordered by the CCI in 2019 in response to complaints from users of Android-based cellphones. OEMs of smartphones and tablets put Android, an open-source mobile operating system, on their products.
CCI claims that because Google controls the Android operating system and other licences, it has an advantage over its rivals in that it can pre-install the Chrome browser and other popular search entry points like search apps and widgets on Android devices. Additionally, Google held a considerable competitive advantage over its other revenue-generating apps on Android smartphones, such as YouTube.
After a report detailing CCI’s preliminary conclusions against Google was leaked in September 2021, the business filed a lawsuit against the watchdog. The tech juggernaut has now received a fine from the CCI twice. In 2018, it fined Google Rs 136 crore for engaging in unfair commercial practises in the Indian online search sector.
In comparison to fines imposed on Google in other jurisdictions, the CCI’s penalty for the company is far smaller. The European Commission penalised Google 2.42 billion euros in 2017 for violating antitrust laws in the EU after discovering that the corporation had unfairly benefited its comparison shopping business by abusing its market dominance as a search engine.
The General Court of the European Court of Justice mostly upheld the EU executive commission’s 2018 decision to punish Google more than 4 billion euros ($3.99 billion) this year.
