40 Indian startups form taskforce against Google Play Billing System
By MYBRANDBOOK
40 Indian startups and companies have reportedly joined forces to challenge Google, specifically focusing on its Google Play Billing System. Google's GPBS mandates that all in-app purchases be processed exclusively through its payment gateway, while also imposing a hefty 30 per cent commission on these transactions. However, a recent ruling by the Competition Commission of India prompted Google to replace GPBS with a user-choice billing system.
The task force has been established under the auspices of the Internet and Mobile Association of India (IAMAI).
The task force may also consider taking legal action against Google if necessary. Google is slated to present before the task force to inform its subsequent course of action. Google also reportedly has a representative on the task force.
Last week, IAMAI proposed a resolution stating that its chairperson should hail from an Indian firm. The proposal also recommended that 50 per cent of the seats on the governing council be reserved for Indian companies.
Earlier this week, the National Company Law Appellate Tribunal (NCLAT) announced it would commence hearing Google's appeal against CCI's imposition of an Rs 936.44 crore penalty on November 28. The penalty was for abusing its dominant market position in relation to Play Store policies.
Earlier this year on April 17, an NCLAT bench comprising Justice Rakesh Kumar and Alok Srivastava ordered that Google's appeal be listed before another bench, of which Justice Kumar was not a member.
On October 25, 2022, CCI imposed a fine of Rs 936.44 crore on Google for abusing its dominant position through its Play Store policies, while also instructing the tech major to cease and desist from engaging in unfair business practices.
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