Tech giant Google on April 26 told the Delhi High Court that it participated in Competition Commission of India's (CCI) hearing of pleas by stat-ups challenging its new payments policy.
Google made this submission in its appeal against a single judge's order asking CCI to look into new payments policy. The tech giant also made it clear that it was not seeking a stay of the single judge's order as CCI is seized of the case already.
A Division Bench of the Delhi High Court thus issued notices to CCI and Alliance of Digital India Foundation (ADIF) in the plea and listed the case for hearing in July 2023. The High Court also sought responses of CCI and ADIF.
On April 24, Justice Tushar Rao Gedela of the Delhi High Court asked CCI to hear applications moved by a group of Indian start-ups against Google’s new in-app user choice billing policy and take a decision on or before April 26.
Alliance of Digital India Foundation (ADIF) moved the court against the competition regulator and the search engine giant, seeking CCI to urgently investigate Google's user choice billing system (UCB) as it violates the anti-trust watchdog's October 25, 2022 order. Google was to introduce the new billing system on April 26.
The petition sought a directive to CCI to invoke the 'doctrine of necessity' (extraordinary actions by administrative authority) to investigate Google's alleged violation of the regulator's guidelines and pass an order as CCI does not have the quorum to adjudicate anti-trust cases. It also sought a stay on Google's implementation of the UCB till the investigation was over.
ADIF, a think tank, filed the case and urged CCI to stay Google's new billing policy. Under the new policy, if a user pays through the alternative billing system (also termed user choice billing system), the transaction will still be subjected to a service fee, but at a 4 percent rate reduction.
In October 2022, CCI directed Google to not restrict app developers from using any third-party billing or payment processing services to purchase apps or for in-app billing on Google Play besides a range of corrective measures to modify the company's app payment policies.
It also fined Google Rs 936.44 crore for abusing its dominant position with regard to its Play Store policies. Google is pursuing its appeal in NCLAT against CCI's Rs 936.44-crore fine.
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