CCI terms Google's Users Choice Billing system unfair, orders probe

New Delhi, Mar 15, 2024 

The Competition Commission of India (CCI) on Friday orderd probe into Google's Users Choice Billing (UCB) system practice over Play Store policies. CCI said that prima facie, Google had violated provisions of the Competition Act.

CCI has asked the director general to complete the investigation and submit a report within 60 days.

In a note, CCI said, "In view of the foregoing, the Commission is of the prima facie view that Google has violated the provisions of Section 4(2)(a), 4(2)(b) and 4(2)(c) of the Act, as elaborated supra which warrants detailed investigation. Accordingly, the Commission directs the Director General ('DG') to cause an investigation to be made into the matter under the provisions of Section 26(1) of the Act. The Commission also directs the DG to complete the investigation and submit a consolidated investigation report within a period of 60 days from the date of receipt of this order."

Earlier in March, Google removed apps from the Play Store from 10 developers for alleged non-compliance with its UCB system. These include Shaadi, Bharat Matrimony, Balaji Telefilms' Altt (formerly ALTBalaji), audio platform Kuku FM, dating service Quack Quack, and Info Edge group's Naukri.com and 99 Acres.

A few days later, Google and Indian app developers agreed to pause their dispute over the technology's major billing policy for four months.

Play Store levies a 15-30 per cent fee for in-app purchases and subscriptions for those using Google's billing system. Developers who choose its third-party billing option pay a commission of 11-26 per cent, marking a reduction of 4 per cent on the service fee.

[The Business Standard]