Monopolistic practices are discouraged everywhere because of the predatory behavior of the companies towards competitors and customers alike. In this era of technology, some companies have become too big for the market, and hence their practices become synonymous with a working Monopoly. Amazon, Facebook, Google, and Apple have been accused of such practices in the US and the European Union. The department of Justice in the US has recently started an antitrust case against Google.
Now Competition Commission of India (CCI) has started an investigation against Google Play and Google Pay in India. According to XDA Developers, CCI started the investigation against Google India that is allegedly using Google Play to favor its other businesses. Similar cases against Google and Apple have been going on around the world. The issue came to the surface when Indian developers complained about the 30% deductions on the payments that occur via Google Play Store. While the above is actually a part of the terms and conditions that everyone must comply with before using the Play/App Store services. The developers argue that the amount of ‘tax’ is quite high.
Another thing to note here is how Google is trying to push its own payment system Google Pay to the Indian consumers. Whenever one searches for payment apps on the Play Store, it shows Google Pay first rather than the applications they searched for in the first place. CCI will also investigate the allegations on how Google promotes its business by tagging them as “top apps” or “User/Editor’s Choice.”
Lastly, it is expected that the investigation is actually an aftermath of the removal of the Paytm application from the Play Store. A few weeks ago, Google removed Paytm from its store, citing violations of policies on Gambling and payment practices.