Google on Friday said it would work with India’s competition regulator after the country’s top court upheld an antitrust order forcing the US company to change the way it markets its popular Android platform.
the Competition Commission of India (IHK) decided in October that Googleheard alphabet, exploited its dominant position in Android and asked it to lift restrictions on device manufacturers, including those related to pre-installing apps and ensuring exclusivity of its search. Google was also fined US$161 million (approx. Rs.1,308 billion).
On Thursday, Google lost a Supreme Court lawsuit to block the guidelines and was given seven days to comply.
“We remain committed to our users and partners and will work with the CCI as we move forward,” a Google spokesman said in a statement to Reuters, without explaining possible steps.
“We are reviewing the details of yesterday’s decision, which is limited to injunctions, and have not ruled on the merits of our appeal,” Google said, adding that it will pursue its legal challenge to the Android decision.
India’s highest court has said a lower tribunal – where Google first challenged Android policies – can still hear the company’s appeal and has until March 31 to decide.
About 97 percent of the 600 million smartphones in India are still working Android, according to estimates by Counterpoint Research. Apple only has a 3 percent share.
Hoping to block implementation of the CCI guidelines, Google had challenged the CCI decision in the Supreme Court, warning that it could stall the growth of the Android ecosystem. It also said it would be forced to change agreements with more than 1,100 device makers and thousands of app developers when the guidelines go into effect.
Google was concerned about India’s decision as the steps are seen as more far-reaching than those imposed in the European Commission’s 2018 ruling. There it was fined for what the commission called unlawful restrictions it imposed on Android mobile device makers. Google is still contesting the record fine of US$4.3 billion (approximately Rs.34,935 billion) in the case.
In Europe, Google later made changes, including the ability for Android device users to choose their default search engine, and device manufacturers will be able to license Google’s mobile application suite separately from the Google Search app or the chrome browsers.
Some analysts say Google must now make similar changes in India to comply with the guidelines.
Faisal Kawoosa, founder of Indian research firm Techarc, said Google may need to consider other business models, such as charging startups an upfront fee to grant access to the Android platform and its Play Store.
© Thomson Reuters 2023
