SUMMARY
In its order, the CCI stated that the complainants did not fulfill the necessary criteria for interim relief as outlined by the Supreme Court
Three separate complainants submitted applications urging the Commission to prevent Google from imposing fees on transactions related to paid downloads or in-app purchases for apps offering digital products/services
This move follows the competition watchdog’s recent action last Friday (March 15) when it ordered an investigation against Google for charging high fees on its Play Store
In a major setback for startups, the Competition Commission of India (CCI) has dismissed their interim relief applications that sought a restriction on Google from imposing a fee or commission on developers as part of its updated payments policy.
“The Commission is of the view that the informants have failed to meet the necessary criteria for grant of interim relief as propounded by the Supreme Court. The Informants have not been able to project any higher level of prima facie case warranting a positive direction as sought for by the Informants at the interim stage,” the Hindu reported, citing the CCI order.
In its order, the CCI stated that the complainants — People Interactive India Private Limited (operator of Shaadi.com and Sangam.com), Indian Broadcasting and Digital Foundation (IBDF), Indian Digital Media Industry Foundation (IDMIF) and Mebigo Labs Private Limited (owner of Kuku FM) — did not fulfil the necessary criteria for interim relief as outlined by the Supreme Court.
Three separate complainants submitted applications urging the Commission to prevent Google from imposing fees on transactions related to paid downloads or in-app purchases for apps offering digital products/services.
“The Informant has also not been able to demonstrate as to how the impugned conduct would result in irreparable harm that cannot be remedied through monetary compensation. The Commission is also not persuaded that balance of convenience lies in favour of the Informants,” the order added.
This follows the competition watchdog’s recent investigation order against Google for charging high fees on its Play Store. CCI had then held that the tech giant’s Users Choice Billing (UCB) payments policy was “prima facie” violative of the Competition Act 2002.
Startups have been engaged in a four-year dispute with the tech giant regarding its alleged anti-competitive behaviour stemming from its dominance in the Android ecosystem and Google Play App Store.
Meanwhile, on March 1, Google delisted hundreds of apps belonging to 10 companies, such as Info Edge, People Interactive, and Matrimony, from its app marketplace due to violations of its billing policies. Subsequently, after intervention from the Indian government, Google restored these apps on the Play Store.
