'Major Setback For Indian Users': Google Responds To CCI's Rs 1338 Crore Fine

Google's statement has been issued after the Competition Commission of India imposed a fine of Rs 1,338 crore on Google. Google said that this is a big setback for Indian customers. We will review the Competition Commission of India's order imposing a fine of Rs 1,338 crore for anti-competitive practices. Let us inform you that yesterday i.e. on October 20, in an order of the Commission, instructions were given to Google to stop unfair business activities with fines.

In fact, this action has been taken against Google to disrupt competition by abusing its strong position in the Android mobile device sector. The commission, in its order, had said that Google has violated the MADA agreements due to its strong position and clout. The commission had said that the US company has taken advantage of its dominant position in the app store market of Android OS to maintain dominance in the online general search market. This is a violation of competition law.

Explain that an operating system (OS) is required to run the mobile app. Google operates and manages the Android OS and issues licenses for other applications. Original Equipment Manufacturers (OEMs) use this OS and Google's app on their mobiles. They enter into several agreements including Mobile Application Distribution Agreement (MADA) to control their rights. The Competition Commission of India believes that Google has violated these agreements and has taken advantage of its strong position and clout.

An investigation was ordered into Google in 2019 on charges of abusing its strong position in the Android mobile device sector. In fact, after Android-based smartphone users in the country filed a complaint against Google for abusing its strong position, the CCI April 2019 issued an inquiry order against Google.