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/2023.01.19
/Google vows to cooperate with India antitrust watchdog after Android ruling.txt
NEW DELHI, Jan 20 (Reuters) - Google said on | |
Friday it will cooperate with India's competition authority | |
after the Supreme Court upheld stringent antitrust directives | |
forcing the U.S. firm to change how it markets its popular | |
Android platform in a key growth market.The Competition Commission of India (CCI) ruled in October | |
that Google, owned by Alphabet Inc, exploited its | |
dominant position in Android and told it to remove restrictions | |
on device makers, including those related to pre-installation of | |
apps and ensuring exclusivity of its search. It also fined | |
Google $161 million.Google has been concerned about India's decision as the | |
steps are seen as more sweeping than those imposed in the | |
European Commission's landmark 2018 ruling against Android. | |
About 97% of 600 million smartphones in India run on Android, | |
while in Europe, the system accounts for 75% of the 550 million | |
smartphones, according to Counterpoint Research estimates.On Thursday, Google lost a challenge in India's Supreme | |
Court to block the CCI directives, getting seven days to comply, | |
a move that will force the company to make changes to how it | |
strikes agreements with device makers who use its free, | |
open-source Android platform."We remain committed to our users and partners and will | |
cooperate with the CCI on the way forward," a Google | |
spokesperson said in a statement to Reuters, without explaining | |
the steps it could take."We are reviewing the details of yesterday's decision which | |
is limited to interim relief and did not decide the merits of | |
our appeal," it added.India's highest court also said a lower tribunal - where | |
Google first challenged the Android directives - can continue to | |
hear the company's appeal and must rule by March 31. Google said | |
on Friday it will pursue the appeal "in parallel."Hoping to block the implementation of the CCI directives, | |
Google had approached the Supreme Court by warning growth of its | |
Android ecosystem will stall. It said it would be forced to | |
alter arrangements with more than 1,100 device manufacturers and | |
thousands of app developers if the directives kick in.Google's Indian Supreme Court filing also stated "no other | |
jurisdiction has ever asked for such far-reaching changes."The Indian directives "will set precedence on how much | |
Google is forced to open up the Android platform to third party | |
local app stores, apps and services," said Neil Shah, research | |
director at Counterpoint Research."It will be challenging," he said. "We are talking about | |
close to 600 million Android users here - will be a significant | |
jolt, creating confusion and chaos."In Europe, Google was fined for putting in place what the | |
Commission called unlawful restrictions on Android mobile device | |
makers. Google is still challenging the record $4.3 billion fine | |
in that case.There, Google made changes including letting Android device | |
users pick their default search engine and said device makers | |
will be able to license the Google mobile application suite | |
separately from the Google Search App or the Chrome browser.Google told the Supreme Court if smartphone makers cherry | |
pick which apps to preload, as the CCI ordered, it would | |
"prevent Google from securing pre-installation of its | |
revenue-generating apps and, consequently, (will) force Google | |
to charge a license fee."This, the company warned, could lead to mobile handsets | |
getting costlier as input costs rise for manufacturers. | |
(Reporting by Aditya Kalra in New Delhi; Editing by Janane | |
Venkatraman, William Mallard and Jacqueline Wong) |