Google To Mount A Legal Challenge In Supreme Court Against CCI’s Android Verdict

SUMMARY

Google could move the Supreme Court days ahead of the January 19 deadline for implementing the CCI order on Android devices market

The CCI slapped a fine of INR 1,377 Cr on Google for its abuse of market dominance in the Android devices market

Earlier this week, the NCLAT refused to grant interim relief to Google in the matter and directed it to deposit 10% of the penalty amount

Tech major Google is reportedly planning to approach the Supreme Court to block the Competition Commission of India’s (CCI’s) antitrust verdict on its dominance in the Android devices market.

News agency Reuters, citing a source, said that the tech giant could mount the legal challenge days before the January 19 deadline for implementing the CCI order.

The source said that the tech major is of the opinion that some of the watchdog’s directives cannot be implemented, adding that Google has no option other than approaching the apex court for relief.

A Google spokesperson did not respond to Reuters’ request for comment.

This comes two days after the National Company Law Appellate Tribunal (NCLAT) refused to grant interim relief to Google in the matter related to Android devices market and directed the tech major to deposit 10% of the INR 1,377 Cr penalty as an interim measure. The tribunal also scheduled the next hearing in the matter in February.

CCI vs Google

At the centre of the debate are two separate rulings of CCI that said Google abused its dominant position in the Android devices market and with regards to its Play Store policies.

The watchdog passed the two verdicts in October. While the CCI fined Google INR 1,337.7 Cr in the Android devices case, it fined the tech major INR 936 Cr in the case related to app marketplaces.

In its filings with the NCLAT, Google said that the CCI copied parts of a similar European Commission order on market dominance. Citing 50 instances of plagiarism, Google had sought quashing of the antitrust ruling.

Besides the hefty fines, at stake are the changes sought in Google’s operating model in India which purportedly gives it a big edge over its similarly placed competitors.

Google is the biggest player in the Indian smartphone operating system market, with Android accounting for 90-95% of the local market. A majority of the Android phones come pre-installed with Google Mobile Suite apps such as YouTube, Search and Gmail.

The CCI in its order said that the tech major denied market access to competitors and disincentivised original equipment manufacturers (OEMs) that developed devices on alternative Android versions.

Meanwhile, the US-based search engine giant is also facing another antitrust case involving its dominance in the news aggregation space.