Last week, CCI imposed a fine of Rs. 1338 core on Google for anti-competitive practices on Android. Now Google has been fined INR 936 crore ($113.04 million) again by the Competition Commission of India for Google’s Play Store Billing policies. CCI found that Google uses its market position to promote its in-app payment system and payment app.
In its probe, CCI found that Google imposes unfair conditions on app developers for publishing apps in the Play Store. Google mandates app developers to use Google Play Billing System for paid apps and in-app purchases. CCI also noted that the mandatory imposition of the Google Play Billing System also results in the denial of market access for payment aggregators.
The Competition Commission of India has directed Google not to restrict app developers from using any third-party payment services. It has also ordered Google not to impose any condition on app developers which are unfair or discriminatory.
CCI also found that Google uses different methodologies for its own UPI and other UPI apps. In simple words, Google uses its market position to promote its payment app Google Pay over other UPI apps. CCI has also ordered Google not to discriminate against other UPI apps in any manner.
This is the second penalty on Google by Competition Commission of India in the month of October. Last week, CCI fined Google a huge Rs. 1338 Crores for forcing Android OEMs to offer different Android apps preinstalled in their devices if they want to use Google. Now Google has been found guilty of forcing Google Play Billing System to app developers.
It is worth noting that Google charges a commission of up to 30% on paid apps billing and purchases made within an app. This is the reason it forces App developers to use Google Play Billing system. Now it will be interesting to see if a similar action will be taken against Apple that also forces app developers to use Apple’s App Store payment system. Apple removed Fortnite from the App Store just because it started accepting payments on its website.
