New Delhi:
IT Minister Ashwini Vaishnaw has invited Google representatives for a meeting on Monday over a dispute between the tech giant and some Indian companies over non-compliance with billing policies.
Google on Friday removed apps from 10 Indian companies, citing disputes over payment of service charges. Among the affected apps were matrimonial services such as Bharat Matrimony and job search app Naukri, compounding Indian startups' long-standing grievances against Google's practices including in-app fees.
Mr Vaishnaw was optimistic about a quick resolution, saying: “I am hopeful that Google will be reasonable in its approach. We have a large, growing startup ecosystem and it is critical to protect their interests.”
“I have already asked Google to meet me. We will take all necessary steps to protect our startup ecosystem, and I trust that Google, which has adapted well to digital payments, will take a reasonable approach to this issue,” the IT minister added.
Dispute explained
The dispute centers on attempts by Indian startups to oppose Google's imposition of a fee ranging from 11 percent to 26 percent on in-app payments, following an order by antitrust authorities to upend the previous fee structure of 15 percent to 30 percent to dismantle. . Google says its fees help develop and promote the Android and Play Store app ecosystem. Although two court rulings in January and February seemingly allowed Google to continue with the new fee or remove apps, Indian companies continue to challenge this imposition.
Matrimony.com, the founder of Bharat Matrimony, Christian Matrimony, Muslim Matrimony and Jodii, expressed dismay as the matchmaking apps were removed from the Google Play Store. Founder Murugavel Janakiraman called it a dark day for the Indian internet and highlighted the potential widespread impact on matrimonial services.
“Our apps are being removed one by one. It literally means that all the best wedding services will be removed,” Janakiraman said, as quoted by Reuters news agency.
The impact is significant as matrimonial apps and websites have gained popularity in India, especially among younger generations who opt for non-traditional matchmaking. Bharat Matrimony alone had over 50 million downloads and a customer base of over 40 million.
Google's actions were not limited to marriage apps. Info Edge, the parent company of job search app Naukri and real estate search platform 99acres, was also removed from the Play Store. Despite initial price fluctuations, both Matrimony.com and Info Edge managed to partially recover by the end of the day.
Google's response
Google, a subsidiary of Alphabet Inc., defended its actions, claiming that 10 Indian companies had chosen not to pay for the “tremendous value they receive on Google Play” for an extended period of time.
“After giving these developers more than three years to prepare, including three weeks after the Supreme Court's order, we are taking the necessary steps to ensure our policies are applied consistently across the ecosystem, such as We're standing up for any policy violation worldwide,” Google said. said in a statement.
The tech giant, which has a dominant 94 percent share of the Indian market through its Android platform, argued that allowing selective developers to avoid fees creates an uneven playing field. Google claimed that no court or regulator had challenged its right to charge fees on its Play platform.