Google has reportedly submitted a settlement proposal to address an antitrust case in India. This move comes after an investigation revealed that the tech giant’s contracts with smart TV manufacturers might be in breach of the country’s competition laws.
According to Livemint, citing sources, Google would be the first company to utilize the settlement scheme introduced in India’s competition law last year. The Competition Commission of India (CCI) recently reviewed a report indicating Google’s involvement in anti-competitive practices. The settlement scheme offers a 15% reduction on the base penalty for companies found to be engaging in anti-competitive activities.
The CCI initiated an investigation in June 2021 following allegations from two individuals that Google LLC and Google India had violated competition law provisions. The Director General of Investigation, in a report to the antitrust watchdog, confirmed that their probe validated the claims of Google’s infringement of provisions prohibiting anti-competitive agreements and abuse of market dominance within the Android TV market, as reported by Livemint.
The new provisions added to the competition law empower companies suspected of violations to make voluntary commitments to address regulatory concerns before the investigation concludes. Companies can also opt to settle the case and pay a reduced penalty if the investigation is already completed.
The CCI scrutinized two agreements signed by Google with smart TV manufacturers, such as Xiaomi Technology India. These agreements reportedly imposed restrictions on TV manufacturers, compelling them to preinstall the entire suite of Google apps if they wanted to preinstall a specific Google app like YouTube.
This development highlights the growing scrutiny faced by tech giants like Google regarding their market practices and the potential for antitrust actions in various regions globally. It remains to be seen how the CCI will proceed with Google’s settlement proposal and the potential implications for the company’s future operations in India.
