Sanjeev Bikhchandani, Founder and Vice Chairman of Info Edge India Ltd, called on India’s Competition Commission to address Google’s anti-competitive actions after the tech giant delisted five Info Edge apps: the Naukri app, Naukri Recruiter, Naukrigulf Job Search App, 99acres, and Shiksha from the Play Store. Jeevansathi app, however, remains available. Google’s sudden action came without adequate notice according to the company, which is actively working to have the apps reinstated.
Google’s intervention aimed at enforcing its app billing policy has seen over a dozen Indian companies’ apps, including Matrimony and Shaadi.com, removed from the Play Store. Despite offering compliance to other app stores, these developers have reportedly not aligned with Google’s policies. A pivotal moment came when, in February, the Supreme Court declined to provide interim relief, leading to the subsequent delisting action. The court anticipates hearing cases against Google’s policy on March 19.
Bikhchandani suggests that a government-created app store could prevent monopoly misuse and incentivize app development. Recently, PhonePe introduced Indus Appstore, a potential rival to Google Play, with no fees on in-app purchases. Info Edge has transitioned its apps to this new platform. Meanwhile, shares of Info Edge witnessed a slight downturn following the delisting event.
Murugavel Janakiraman from Matrimony.com and other Indian startup leaders have expressed concerns over Google’s practices, stating the dependency on the tech giant for app distribution is detrimental to the industry. Google’s dominance, with Android constituting approximately 96-97% of India’s smartphone market share, places significant control over the country’s startup ecosystem. Startups are now considering retaliatory measures such as imposing a ‘Google Tax’ to offset the impact of compliance costs.
In response, Google justified its actions by stating that providing preferential treatment to select developers undermines fairness in the app ecosystem. Google maintains that its Play Store’s fee structure is justified by the value and services provided, emphasizing that the fee supports continued investments in the platform.
With the tech giant claiming over 200,000 Indian developers comply with its policies, the current tension highlights the need for dialogue and perhaps policy revision to accommodate the interests of both global tech platforms and the thriving Indian startup community.