CCI to complete probe into Google Play Store policy within 60 days

The Competition Commission of India was responding to a petition that Google had filed in the high court on Dec. 27. The US-based tech behemoth
had sought more time to respond to CCI’s questions in relation to the probe.

Additional Solicitor General N. Venkataraman, who appeared on behalf of CCI, told the court that Google should cooperate with the director general of its investigating arm in order to ensure that the probe is completed within the stipulated time.

Google submitted that it had furnished over 9,000 pages of documents already and would continue to cooperate in the CCI investigation. The company, however, asked the court to set aside an interim relief plea filed by industry grouping Alliance of Digital India Foundation, from the Play Store billing policy. Google argued that it was unnecessary as it had pushed the date for app developers to integrate with its Play Store billing system till Oct. 31 this year.

“We are pleased with the outcome of today’s hearing before the Karnataka High Court and welcome the CCI’s recognition that there is no need to proceed with ADIF’s request for interim orders, and that CCI will instead focus on completing its ongoing factual probe,” a spokesperson for Google said. “As we have said previously, we will continue to cooperate with the CCI’s investigative process.”

Advocates representing Google and the antitrust regulator agreed to file a joint memo for the disposal of the petition.

ADIF’s counsel Abir Roy submitted to the court that the industry body should be at liberty to file for interim relief once the DG’s investigation report is out, which the advocate appearing for Google concurred with if such an action is warranted.

ADIF had filed an appeal with the CCI in October seeking relief from Google’s incoming policy, which was to be implemented from April this year.

“By conveying to the Court that the CCI is expected to complete their investigation in 60 days, the antitrust regulator has essentially checkmated Google’s attempt to delay the overall antitrust investigation process by exploiting legal challenges,” said Sijo Kuruvilla George, executive director at ADIF.

Google has consistently attempted to implement its mandatory Play Store billing policy and delay or evade antitrust indictments, George added.

Under the tech giant’s new payments policy, certain app categories will be restricted to using only the Google Billing System (GBS) to accept payments from users, for which Google would charge a 30% commission, compared to around 2% by other payment gateways.

A large section of India’s app developer ecosystem, including players such as Paytm, have protested Google’s move. Google has since reduced the commission to 10-15% for app developers and the policy will now come into force only in October in the country.

ET reported on December 22 that the CCI
had begun in-person depositions from a slew of local internet startups, including edtech unicorn Unacademy, dating apps TrulyMadly and Tinder, matrimony sites such as Shaadi.com and BharatMatrimony, as well as a few OTT platforms and online gaming ventures, on Google’s “hefty” commissions from developers.

On Dec. 31, the CCI
launched a separate investigation into Apple over allegations that the iPhone maker had abused its dominant position by owning apps that compete with third party developers, levying a commission of as much as 30% for in-app purchases, and not allowing other payment mechanisms.

The anti-monopolies watchdog launched the probe against Apple after receiving complaints from Jaipur-based non-profit Together We Fight Society and took a prima facie view that the company had violated certain provisions in Section 4 of the Competition Act, 2002 that deal with abuse of dominant position by an enterprise.