Google Agrees To Cooperate With CCI On Android Market Ruling

Google announced on Friday that it will abide by the rules set forth by the Competition Commission of India (CCI) with regard to any modifications to the business model for the Android market after the Supreme Court rejected its request for preliminary relief.

The company will nevertheless continue its legal appeal in this case.

One of the Google spokesperson said that Android has had a significant positive impact on Indian users, developers, and OEMs (original equipment manufacturers) and has been instrumental in India's digital development. In addition to our appeal, they will continue to be committed to their partners and users and will work with the CCI on the best course of action.

On Thursday, the Supreme Court declined to halt the National Company Law Appellate Tribunal's (NCLAT) decision in the case of the CCI, which demanded Google to pay a fine of Rs 1,338 crore for abusing its market dominance in the Android device ecosystem.

After hearing the argument, the Supreme Court even declined to interfere with the NCLAT's order and requested that Google's appeal be decided by 31 March.

The corporation was given an additional week by the court, nevertheless, to pay the remaining 10 per cent of the fine and abide by CCI's rules.

The competition watchdog imposed a fine on Google in October of last year, noting that the company had abused its position of dominance in the licencing of mobile operating systems, the Android app market, general web search services, non-operating system-specific mobile web browsers, and online video hosting services in the nation.

It is unlikely that their competitors will be able to gain the same level of market access that Google has secured through MADA (Mobile Application Distribution Agreement). In its order, CCI said that network effects, combined with status quo bias, create significant competitor barriers in those markets. 

The company will need to change its business strategy to stop requiring device manufacturers to pre-install just Google's exclusive applications, it added.

Furthermore, it was said that the licencing of Google apps, including Play Store, should not include a requirement to pre-install them on phones.

The competition watchdog stated, among other important things, that Google shall not restrict access to its Play Services APIs to handset manufacturers or developers in order to disadvantage its current or potential competitors and that it shall not pay original equipment manufacturers in exchange for any exclusivity of its services.

In response, Google claimed that in addition to making Android smartphones in India more expensive, less useful, and less safe than they are at the moment, the CCI's order exposes Indian customers to hitherto unheard-of security dangers.

Google said in front of the Supreme Court that it was present due to quality rather than domination. It criticised the CCI order, claiming that its directives were based on an incorrect interpretation of a report from the parliamentary standing committee.