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India. Google fined $113 million over payment practices

India’s antitrust watchdog fines Google $113 million over payment practicesunfair“One week after he was sentenced to 162 million dollars for abuse of dominant position.

Google’s Android operating system largely dominates the Indian market, where it is used on 95% of smartphones in the country, according to industry research firm Counterpoint. Independent software developers distribute their own software on Android through Google Play, but must use Google’s payment system to receive payments from their customers. This practice leads tounfair terms for app developerssaid the Competition Commission of India (CCI) in a statement announcing the fine.

Google’s billing practicesunilateral and arbitrary“Prevent Developers”use the payment processor of their choice“They say the commission. The ICC ordered Google to allow developers to use other payment systems and to treat them on a fair basis.

Second penalty in days

This is the second fine imposed by the CIS on Google in a few days. Last week, Google was fined $162 million by India’s antitrust watchdog for abusing its dominant position in the local smartphone market. The CCI also asked Google not to enter into agreements with smartphone manufacturers that would encourage them to sell only devices running the Android operating system or use its software exclusively.

Last month, European justice imposed a record fine of more than 4 billion euros on the American giant, upholding a ruling in Brussels in 2018, as well as for abusing its dominant position in the Android operating system. The EU court confirmed that Googleimposed illegal restrictions (…) in order to strengthen its search engine dominance“.

India has the second largest number of smartphone users in the world, after China. Its smartphone market is expected to grow 27% year-on-year in 2021, according to Counterpoint, with annual sales exceeding 169 million units. More than 60% of phones sold in the country come from major Chinese manufacturers, including Xiaomi and Oppo.

Apple remains a minor player in India’s huge budget-dominated market, but has made some inroads in recent years, prompting the company to announce plans for local production of its latest iPhone 14 model last month.

Source: Le Figaro

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