The Competition Commission of India (CCI) fined US company Google Rs 936.44 crore on Tuesday for the second time in less than a week, taking the total penalty to ₹ 2,274 core, for “misusing its dominant position” about Play Store policy. The CCI asked the tech giant to “stop engaging in unfair commercial practices”.
After yet another ‘antitrust probe’ this month, the US tech firm was found guilty of abusing its dominant market position to promote its payments app and in-app payment system, according to the CCI. “Case Nos. 07 of 2020, 14 of 2021 and 35 of 2021 CCI imposes a monetary penalty of Rs 936.44 Crore on Google for anti-competitive practices in relation to its Play Store policies,” the CCI tweeted.
That comes after the CCI fined Google Rs 1,337.76 crore for anti-competitive practices related to Android last Thursday. App stores are required for developers to distribute their apps to end users, and the availability of app store(s) is directly related to the operating system (OS) present on a smart device.
From an understanding of the market dynamics for mobile operating systems available for licensing in India, Google’s Android OS has successfully reaped the benefits of indirect network effects.
The CCI said the Android mobile ecosystem’s primary software distribution channel is Google’s Play Store, which enables its owners to profit from the apps released to the market.
According to Google’s Play Store policies, app developers must exclusively use Google Play’s Billing System (GPBS) to accept payments for apps distributed or sold through the Google Play Store and for some in-app purchases.
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