CCI To Hear Charges Against Google’s Controversial Payment Policy This Week

The Competition Commission of India (CCI) is set to begin a confidential hearing this week on charges against Google’s controversial payment policy for Play Store developers.

Later this week, the three-member CCI panel headed by chairman Ashok Kumar Gupta is expected to hear the matter, Business Standard reported.

The final order is expected to come out by September.

Back in 2020, the tech giant announced that it would make it mandatory for any app offering digital goods and services to use the Play Store’s billing system and pay a 30% commission for in-app purchases.

In addition, existing apps will have to remove any alternative in-app billing system they use and replace it with the Play Store’s billing system. The proposed payment policy is scheduled to come out on October 31.

While the proceedings are starting this month, the commission is expected to conclude the matter in seven to 10 days.

Google may be charged with a penalty if the antitrust regulator finds its policy to be in violation of the competitive conduct.

The panel will examine the relevant findings of the case, which alleged that Google favoured its own app Google Pay, over its competitors, a person aware of the development said as quoted in the report. 

Along with that, the panel will also review whether the proposed payments policy is in compliance with competition laws.

Earlier in March, the director general (DG) office that looks at competition investigation, had submitted its initial report to the CCI. Hence, the panel will also hear Google’s comments on DG report that found the policy unfair and discriminatory.

Google’s counsel and executives will get equal chances to present their case and reply on the allegations.

“We recently introduced a pilot to allow a small number of participating developers to offer an additional billing option next to Google Play’s billing system, starting with Spotify,” a Google spokesperson said as quoted in the report.

Google will continue to engage with the CCI and demonstrate that its practices benefit Indian consumers and developers, the spokesperson added.

Since when the policy was announced, the Indian startup ecosystem opposed it saying it would hurt the businesses. Even a part of the ecosystem has talked about the need for an Indian app store to curb Google, and Apple dominance.