Google Delists Info Edge’s Naukri & 99acres; Founders Say Google Killing Indian Startups

After delisting the apps of multiple Indian startups from Play Store, big tech major Google has also cracked its whip on Info Edge-owned classifieds site Naukri.com and proptech platform 99acres.

The apps of the two platforms are not available on Google’s app marketplace. 

This comes just hours after Info Edge founder and chairman Sanjeev Bikhchandani told Inc42 that no apps published by Info Edge were impacted by Google’s delisting spree.

In addition, Quack Quack founder and chief executive officer (CEO) Ravi Mittal also confirmed to Inc42 that the dating platform’s app has been delisted from Play Store. 

“… This situation shows Google’s blatant dominance, raising concerns about the potential impacts on a significant portion of startups and businesses in the digital app economy, which also employ thousands of people. The government needs to intervene and direct CCI to ensure Google is in compliance with their CCI order and immediately restore all apps including QuackQuack,” added Mittal.

Speaking to Inc42, OTT platform STAGE’s cofounder and CEO Vinay Singhal said that the Indian digital ecosystem is at the whims and fancies of Google. Terming the move akin to “Digital Ghulami” (digital slavery), he said that the big tech major is killing Indian startups.

“Despite the matter being pending before the CCI, Google has the guts to delist our apps. By this, Google is essentially implying that we do not care about the laws of the land and we can do whatever we want. I urge the Indian government to look into this as Google is killing startups,” added Singhal. 

Training guns at 26% commission charged under the user choice billing policy, the STAGE cofounder said that very few businesses have 30% EBITDA and that the hefty fees charged by Google is detrimental to the ecosystem.

Meanwhile, ecosystem stakeholders have urged the government to intervene. They are also seeking a state-backed app marketplace, modelled on the lines of digital public infrastructure such as the UPI and ONDC, to reign in the big techs.

“Indian companies will comply – for now. But what India needs is an App Store / Play Store that is a part of Digital Public Infrastructure – like UPI and ONDC. The response needs to be strategic,” said Info Edge’s Bikhchandani.

STAGE’s Singhal also supported this, saying Google has made it impossible for competitors (non-state) to survive. 

“Many have tried to compete with the Play Store but Google makes it impossible for them to survive. For instance, it does not allow Indus Appstore to list on Play Store saying the former is from an “unknown source”. This is the kind of abuse of monopoly that the company indulges in,” added Singhal.

Startups Vs Google Again

The saga erupted earlier in the day after Google began delisting apps of Indian startups from its app marketplace. The following apps have been delisted so far:

• Info Edge-owned Naukri and 99acres
• Bharat Matrimony
• Shaadi.com
• Truly Madly
• STAGE
• ALTT
• Kuku FM 
• QuackQuack

At the heart of the saga is Google’s user choice billing system which was introduced in the aftermath of the competition watchdog’s INR 936 Cr fine on Google for abusing dominance in the Android devices market.

However, startups are not happy with it. They believe that the new system is a regurgitation of the erstwhile Google Billing and Payments System (GBPS) and charges exorbitant commissions. While the previous regime charged 15-30% commissions, the new billing policy reduced it to 11-26%. 

Another contention is the fact that the new policy, which includes provision for third-party payment systems, mandated extensive paperwork and overarching purview of Google to avail in-app external payment gateway. This, the founders say, renders the new billing system moot. 

The startups have also approached various courts, including the Supreme Court, to argue their points and sought revocation of the new policy. 

On the other hand, Google has not issued any specific responses to the founders’ charges after the delisting of their apps and has just published a blog to put forth its points.

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