Google CCI Penalty: Google responds to Rs 1,337 crore penalty imposed on the company in India |
Google has responded to the penalty imposed by the Competition Commission of India (CCI) on the company. On October 20, CCI announced a penalty of Rs 1,337.76 crore on the search giant for abusing its dominant position in multiple markets in the Android mobile device ecosystem. In the order, CCI said that Google leveraged its dominant position in markets such as online search and app store for Android, to protect the position of its apps like Chrome and YouTube in mobile web browsers. The Android-related probe, started in the year 2019, after a complaint from two junior Indian antitrust research associates and a law school student.
Google’s response
Google has responded to the charges and the penalty imposed. In a statement, the company said that it will review the decision to evaluate the next step. “Android has created more choice for everyone and supports thousands of successful businesses in India and around the world. The CCI’s decision is a major setback for Indian consumers and businesses, opening serious security risks for Indians who trust Android’s security features, and raising the cost of mobile devices for Indians. We will review the decision to evaluate the next steps,” said Google spokesperson in a statement.
What did CCI say
The fair trade regulator has directed the internet major to cease and desist from unfair business practices. In a release, the Competition Commission of India (CCI) said that it has directed Google to modify its conduct within a defined timeline.
CCI also restricted Google from certain revenue sharing agreements with smartphone makers, noting that such practices helped Google to secure exclusivity for its search services “to the total exclusion of competitors.” It asked the company to allow users to pick their search engine of choice for all relevant services while setting up a phone for the first time.
“Markets should be allowed to compete on merits and the onus is on the dominant players (in the present case, Google) that its conduct does not impinge this competition on merits,” CCI said in a statement.
(With agency inputs)
Google’s response
Google has responded to the charges and the penalty imposed. In a statement, the company said that it will review the decision to evaluate the next step. “Android has created more choice for everyone and supports thousands of successful businesses in India and around the world. The CCI’s decision is a major setback for Indian consumers and businesses, opening serious security risks for Indians who trust Android’s security features, and raising the cost of mobile devices for Indians. We will review the decision to evaluate the next steps,” said Google spokesperson in a statement.
What did CCI say
The fair trade regulator has directed the internet major to cease and desist from unfair business practices. In a release, the Competition Commission of India (CCI) said that it has directed Google to modify its conduct within a defined timeline.
CCI also restricted Google from certain revenue sharing agreements with smartphone makers, noting that such practices helped Google to secure exclusivity for its search services “to the total exclusion of competitors.” It asked the company to allow users to pick their search engine of choice for all relevant services while setting up a phone for the first time.
“Markets should be allowed to compete on merits and the onus is on the dominant players (in the present case, Google) that its conduct does not impinge this competition on merits,” CCI said in a statement.
(With agency inputs)
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