Google has received significant relief in India. The National Company Law Appellate Tribunal (NCLAT) has reduced the penalty imposed by the Competition Commission of India (CCI) from ₹936 crore to ₹216 crore. This penalty was levied against Google for alleged abuse of its Play Store policies. Google is now required to deposit the remaining amount within 30 days.
NCLAT Upholds CCI Order, but Reduces Penalty
In its ruling, the NCLAT upheld the CCI's order but reduced the penalty imposed on Google by ₹720 crore. This means Google has been penalized for its abusive practices, but the amount has been significantly reduced. The CCI had initially imposed a ₹936 crore fine on Google for allegedly misusing its Play Store policies, negatively impacting competition.
Allegations Against Google: Misuse of Play Store Policies
The CCI alleged that Google violated and misused its business rules through its Play Store platform. It was argued that Google leveraged its dominant position to suppress competitors, creating an imbalance in the market. The NCLAT acknowledged this anti-competitive behavior and penalized Google, although granting a reduction in the fine amount.
Google Challenged CCI's Order in NCLAT
The penalty was initially imposed by the CCI in 2022, citing Google's abuse of its dominant position. However, Google and its parent company, Alphabet, challenged this order before the NCLAT. Following this challenge, the NCLAT upheld the penalty against Google but reduced the fine amount.
Google Ordered to Deposit Penalty Within 30 Days
Following the NCLAT's decision, Google has already deposited 10% of the reduced penalty amount. The company has now been ordered to deposit the remaining amount within 30 days. This decision represents a significant relief for Google, given the substantial reduction in the penalty.
Significant Penalty Reduced: Relief for Google
Google has faced numerous fines from the European Union and other countries in the past. However, this relief in India is significant news for the company. It remains to be seen how Google will adjust its policies and implement them going forward in light of this decision.
