Google Might Face Antitrust Case in India Over Google Pay App

Google Might Face Antitrust Case in India Over Google Pay App


The Competitors Fee of India (CCI) is trying into allegations that Alphabet’s Google is abusing its market place to unfairly promote its cell funds app within the nation, 5 sources aware of the case advised Reuters. The criticism was filed in February and the CCI has stored the id of the complainant confidential, the primary supply with direct data of the case stated. The criticism alleges the US tech large extra prominently showcases its Google Pay app inside its Android app retailer in India, giving it an unfair benefit over apps of opponents which hurts customers, the supply added.

Google didn’t reply to a request for remark. Two of the sources stated the watchdog knowledgeable Google in regards to the case being filed a number of days in the past and the corporate will reply in the end.

A supply stated the case submitting is presently being reviewed by senior CCI members. Sometimes in such instances, Google will seem earlier than the watchdog which is able to then resolve on the way in which ahead.

The CCI can direct its investigations unit to conduct a wider probe into the allegations, or dismiss the case if it finds no benefit in it.

“It’s at a consideration stage,” the supply stated.

The CCI didn’t reply to a request for remark.

That is Google’s third main antitrust problem in India. In 2018, the CCI fined Google $21 million (Rs. 136 crores in India) for “search bias”, however an organization enchantment in opposition to that’s pending. The CCI final 12 months additionally began probing Google for allegedly misusing its dominant place to cut back the power of smartphone producers to go for alternate variations of its Android cell working system.

Google Pay permits customers in India to do inter-bank fund transfers and invoice funds. It competes with apps reminiscent of Softbank-backed Paytm and Walmart’s PhonePe in India’s crowded digital funds market, the place Fb’s WhatsApp can also be planning an identical service.

Google stated on its weblog in September that its funds app had quickly grown in India to succeed in 6.7 crore month-to-month lively customers, driving transactions price greater than $110 billion (roughly Rs. 8.31 lakh crores) on an annualised foundation. Use of such apps has surged in India.

The Google antitrust criticism alleges the corporate is ready to leverage its robust place within the Android market to advertise the app, the primary supply added.

Android cell working platforms energy round 98 % of the 49 crore smartphones in India, knowledge from Counterpoint Analysis confirmed.

The criticism additionally alleges Google is selling its funds app utilizing search manipulation, the supply added, with out elaborating whether or not the allegations element how the corporate did so.

One of many sources, nonetheless, stated customers in India have choices to pick out one of many a number of digital cost apps out there on Android, one thing that Google can use to defend in opposition to complaints over its dominant place.

Earlier this month, Reuters reported that the CCI was trying into allegations that WhatsApp was abusing its dominant place by providing cost providers to its huge base of messaging app customers within the nation.

© Thomson Reuters 2020



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