Google penalized with Rs. 136cr fine for abusing market position
What's the story
National antitrust watchdog Competition Commission of India (CCI) has imposed a fine of Rs. 136 crore on tech giant Google for indulging in "search bias" and abusing its dominant position in online web search and online search advertising markets.
According to the CCI, Google's commercial flight search function has been unfairly placed at a prominent position on the search results page, disadvantaging smaller businesses.
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Google causing harm to competitors and users: CCI
"Google was leveraging its dominance in the market for online general web search, to strengthen its position in the market for online syndicate search services ... causing harm to its competitors as well as users," the CCI said in a 190-page order.
Allegation
The fine is just 5% of Google India's three-year revenue
Accusing Google of "infringing anti-trust conduct," the CCI has penalized it with a fine of Rs. 135.86 crore. The amount translates to just 5% of Google India's total revenue generated in the financial years 2013, 2014 and 2015.
Notably, the CCI probe had first started in 2012 after Bharat Matrimony and the Consumer Unity and Trust Society filed complaints against the search engine giant.
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CCI has not penalized Google enough: Bharat Matrimony's lawyer
Displeased by the 'small amount' of fine imposed, Bharat Matrimony's lawyer Naval Chopra said, "Whilst finding Google to have abused its dominant position, the CCI has nonetheless exercised restraint in recognizing the dynamic nature of online markets and not found Google guilty of every allegation."
Response
We are reviewing the narrow concerns of CCI: Google
Responding to the CCI notice, a Google spokesperson said the company will assess its next steps after reviewing the "narrow concerns" of the antitrust watchdog.
"We have always focused on innovating to support the evolving needs of our users. The Competition Commission of India has confirmed that, on the majority of issues it examined, our conduct complies with Indian competition laws," he added.
Do you know?
Google has been in soup before because of search bias
This isn't the first time Google has been accused of being biased towards its own services. In 2017, it was slapped with a fine of $3 billion by the European Commission for favoring its shopping service on the search results page and demoting rival offerings.