The Competition Commission of India (CCI) has broadened the scope of its investigation into Google's alleged anti-competitive practices in online advertising technology services, marking the latest regulatory challenge for the tech giant in its largest user market.
In an order dated August 1, the CCI clubbed a matter related to online display advertising services through Google’s AdTech stack with four ongoing investigations.
The new matter arises from a 2024 complaint filed by startup policy think tank, the Alliance of Digital India Foundation (ADIF), while the earlier cases are based on complaints filed by digital news publishers in 2021, 2022, and 2024.
ADIF, which includes prominent Indian internet companies such as Matrimony, Paytm, MapmyIndia, TrulyMadly and other local entrepreneurs, had alleged in its complaint that Google was abusing its dominant position in the online search advertising and online display advertising markets in India through anti-competitive practices.
The CCI had split the complaint into three separate sub-cases: one dealing with Google's online display advertising services through its AdTech Stack and another examining the online search advertising services market through Google Ads policies.
A third case is looking into allegations that Google engages in a non-transparent ad review and ad redressal process, and uses its search dominance to increase profits from the online search advertising market.
The antitrust regulator noted that the allegations made by ADIF related to the online display advertising market and AdTech intermediation services are already under investigation before the Director General (DG). It has now directed the DG to probe ADIF's allegations and submit a consolidated investigation report.
The CCI had first ordered a probe against Google in January 2022, over alleged abuse of its dominant position in news aggregation following a complaint filed by the Digital News Publishers Association (DNPA).
Subsequent complaints filed by the News Broadcasters and Digital Association; the Indian Newspaper Society; and Maulik Surani, the co-founder of software and mobile application development company Capset Infotech were clubbed with this matter.
"We are reviewing the CCI’s orders. We welcome the CCI’s decision to dismiss one part of the complaint. We remain confident that our ongoing work with the CCI will affirm that Google's advertising practices have consistently benefited advertisers, publishers, and users, and are fully compliant with competition law," a Google spokesperson said in a statement. Moneycontrol has also reached out to ADIF for comments and will update once we hear back.
Complaint over Google's search advertising ad policies rejected
In a separate order on August 1, CCI rejected ADIF's complaint over online search advertising services market through Google Ads policies, stating that it has already reviewed all the allegations made in detail and resolved in earlier matters such as the Matrimony case.
The Commission stated that it is "not convinced" with the reasons stated by ADIF for distinguishing its allegations from the issues examined in previous orders.
"No purpose would be served by inquiring into the same issue yet again without there being any material change in circumstances being pointed out, and reinvestigating the same issue again would simply lead to a wastage of time and resources of the public exchequer," CCI stated in the order. The antitrust regulator is yet to issue an order on the third case related to ADIF's complaint.
Google's India antitrust woes
With over a billion users, India is Google's largest market in terms of user base for its products. It is also a crucial region for the company's future growth strategy, particularly in the area of artificial intelligence.
That said, Google has come under repeated antitrust scrutiny from the CCI for alleged abuse of dominance across multiple areas of its business.
CCI fined Google Rs 936.44 crore in October 2022 for abusing its dominant position with regard to its Play Store policies. In March, National Company Law Appellate Tribunal (NCLAT) partially upheld key aspects of the CCI's order while reducing Google's penalty from Rs 936.44 crore to Rs 216.69 crore. Last month, Google approached the Supreme Court challenging NCLAT's ruling.
Google was also fined Rs 1,337.76 crore for abusing its dominant position in the Android Mobile device ecosystem in October 2022. The firm is said to have paid the entire penalty amount after NCLAT upheld the fine in March 2023.
In April, CCI approved Google's settlement proposal in the Android TV antitrust case, under which the company is expected to pay Rs 20.24 crore.
Earlier this week, the tech giant also proposed allowing all real-money gaming (RMG) apps into Play Store as part of its "commitment proposal" aimed at resolving an ongoing antitrust investigation into its RMG-related policies.
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