Startups say Google employing ‘delaying tactics’, policy tweaks ‘cosmetic in nature’

Indian internet start-ups have termed the recent changes made by Google to its Android operating system and Play Store Billing policies as “ delaying tactics” that are “cosmetic in nature” as the search giant continues its appeal against the October order of the Competition Commission of India(CCI). 

Google is following the ‘same playbook’ that it employed in Europe and South Korea and is exploiting “loopholes” to show compliance with the orders that were to come into effect on January 26, developers told ET. This was after the SC extended the January 19 deadline by a week. 

On Wednesday, Google announced around five changes to the way it operates Android and Google Play billing in India. India’s competition watchdog in its two rulings – one on October 20 an the second on October 25which had directed the American company to make close to 20 changes in the operation of its services in India.

On January 19, the Supreme Court while hearing an appeal by Google refused the tech giant interim relief and directed the tech giant to comply with the National Company Law Appellate Tribunal’s (NCLAT) directive of depositing 10% of the CCI imposed fine. The SC, however, extended the deadline of the CCI by a week and asked the NCLAT to decide on Google’s appeal on merits by March 31.

“How can Google defy both CCI and Supreme Court,” asked Rohan Verma, CEO of MapMyIndia, a listed entity which competes with Google Maps.

Pointing out that Google has listed out just a few points ( instead ) of following all 10 directives by CCI (in the Android order), “despite CCI’s directive, why is Google not allowing users to uninstall Google Maps and other apps and why is Google not allowing other app stores to be distributed through Google Play Store? ” he said.

“How can Google defy both CCI and Supreme Court,” asked Rohan Verma, CEO of MapMyIndia, a listed entity which competes with Google Maps.
Pointing out that Google has listed out just a few points ( instead ) of following all 10 directives by CCI (in the Android order), “despite CCI’s directive, why is Google not allowing users to uninstall Google Maps and other apps and why is Google not allowing other app stores to be distributed through Google Play Store? ” he said.

In its order on Google Play Billing, CCI had asked Google to make close to about ten changes but the search giant indicated one change which pertains to opening user choice billing to all apps, in its announcement on Wednesday. 

Snehil Khanor, Co-Founder & CEO of TrulyMadly.com is of the view that implementation of user choice billing is a direct violation of CCI order. Specifically, as Google will still be forcing developers to use its gateway to integrate with other payment gateways. It will also continue to charge 26% instead of 30% of the transaction value.

“All directives in combination were designed to ease the monopolistic grip of Google on India’s digital ecosystem, but it seems like they are trying to defy the order and dilute the impact of the landmark CCI verdict as well as the honourable Supreme Court of India,” Khanor said.