Google Moves SC Against CCI’s Antitrust Verdict

SUMMARY

The legal challenge comes days before the expiration of the January 19 deadline for the implementation of the CCI order

Earlier this month, NCLAT refused to grant interim relief to Google and directed the company to deposit 10% of the INR 1,377 Cr penalty levied by the CCI

In India, it is also being probed by the CCI for abusing dominance in the news aggregation space

Google will now contest the National Company Law Appellate Tribunal (NCLAT) order, which refused any interim relief to the tech giant in the case related to its alleged dominance in the Android devices market.

Siding with the Competition Commission of India (CCI), a few days ago, the tribunal directed the company to deposit 10% of the INR 1,377 Cr penalty levied by the competition watchdog.

As per Supreme Court records, the tech major filed a plea on January 7 against the tribunal’s ruling. A source told Reuters that Google seeks to put the CCI order on hold, while its appeal is heard before the Apex Court.

Interestingly, the legal challenge comes days before the expiration of the January 19 deadline for the implementation of the CCI order. At the centre of the debate are two consecutive penalties levied by the competition commission on Google in October 2022 over its Play Store policies and for abusing its foothold in the Android market.

A fine of INR 1,337.7 Cr was imposed on the tech major in the Android devices case and an additional INR 936 Cr penalty was slapped on Google over its one-sided Play Store policies.

The tussle so far has seen Google reportedly alleging that the competition commission plagiarised parts of a similar European Commission order on its market dominance. It has also sought the quashing of the CCI order that could disrupt its India operations.

Meanwhile, CCI has stayed firm on its stance, claiming that the US-based tech major abused its market position to stifle innovation in the Android devices space. In its order, the competition watchdog said that the big tech major denied market access to competitors and disincentivised original equipment manufacturers (OEMs) in many cases.

Google is an undisputed leader in the smartphone operating system market and holds more than 90% of the total market share.

As of now, Google is facing a barrage of similar cases across the world, including the European Union where it is under the scanner of authorities for anti-competitive practices. In India, it is also being probed by the CCI for abusing dominance in the news aggregation space.