SUMMARY
The CCI has ordered a detailed probe against Google for alleged dominance in the smart television segment and news aggregation space, said CCI chairperson
The commission is waiting for report from the director general (DG) and will accordingly take action, said chairperson on Apple probe
This comes a year after the CCI fined Google in excess of INR 2,200 Cr in penalties for abusing its dominance in the Android devices market and with regards to its Play Store policies
In what appears to be signs of a brewing trouble, the Competition Commission of India (CCI) is probing big tech giants Google and Apple for alleged unfair business practices.
As per news agency PTI, CCI chairperson Ravneet Kaur on Tuesday (October 10) said the watchdog has ordered a detailed probe against Google for the company’s alleged dominance in the smart television segment and news aggregation space.
In response to another question, Kaur added that Apple is also being probed for its alleged anti-competitive behavior. “Once we receive the report from the director general (DG), (and) CCI, we will take action,” she added.
The Cupertino-based company is under the radar of the competition watchdog for alleged anti-competitive practices with regards to its app marketplace App Store.
It is pertinent to note that the DG is the commission’s arm entrusted with investigation. Instances where the regulator finds prima facie evidence of anti-competitive practices are referred for detailed probes by the DG.
The additional investigation is expected to make matters worse for Google, which has already been the face of at least two antitrust rulings by the watchdog.
The CCI slapped two consecutive penalties, totalling more than INR 2,200 Cr, on Google last year for abusing its dominance in the Android devices market and with regards to its Play Store policies. Not just this, Google was also directed to undertake sweeping changes to its India operations and rework its agreements with vendors to comply with CCI directives.
What followed was a flurry of legal challenges by the tech major before the Supreme Court, High Court and NCLAT in various proceedings related to the matter. Eventually, Google paid the fines and undertook some changes but not without opposition from startups and other stakeholders.
The newest allegations pertain to Google’s dominance in the news aggregation space. The watchdog commissioned a probe into the tech giant’s alleged dominance in October last year after receiving complaints from industry bodies News Broadcasters and Digital Association (NBDA), Indian Newspaper Society (INS) and Digital News Publishers Association (DNPA).
The broadcasters and news publishers allege that their members are forced to provide their news content to Google to rank higher on Google search pages, adding that the tech major freerides on the content of publishers without giving them adequate compensation.
On the other hand, the CCI chairperson’s comments come a couple of months after reports surfaced that the CCI was reviewing the report on the probe into Apple’s app billing policy. The watchdog first initiated an investigation into the Tim Cook-led company’s business practices in December 2021 after receiving allegations from multiple companies and industry bodies.
The allegations largely pertained to heavy commissions charged by the tech major on its app marketplace and the absence of third-party payment alternatives on its app store.
