The inquiry is in relation to Google’s trial program, which debuted in September 2022, authorizing Daily Fantasy Sports and Rummy applications on the Play Store.
The Competition Commission of India (CCI) has initiated an investigation against Google after Winzo, a real money gaming (RMG) platform, said Google was abusing its influence in the RMG industry. Winzo alleges that Google’s regulations favor certain apps over others, resulting in an uneven market. The CCI is currently investigating to discover if these accusations are genuine and whether Google is infringing any regulations.
Winzo challenges Google’s selective support for DFS and rummy apps.
Winzo’s complaint highlights Google’s pilot program, which started in September 2022. This initiative made Daily Fantasy Sports (DFS) and Rummy applications available on the Google Play Store. The corporation claimed that this selective inclusion provided an unfair advantage to some rivals. For example, Dream11 witnessed a significant increase in users throughout the campaign, whereas other platforms did not have the same opportunities, according to The Indian Express.
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Winzo also attacked Google’s advertising policies. These limitations prevented non-DFS and Rummy applications from advertising adverts, limiting their market reach. Furthermore, Winzo said that Google Pay displayed warnings that might terrify users when they attempted to make in-app purchases for sideloaded apps. This might prevent people from using these platforms.
In its initial examination, the CCI was concerned about how Google’s activities harmed competition. It claimed the long-running pilot program, which some may participate in, created a “two-tier market.” The Commission stated that these methods made it difficult for alternative RMG apps to enter the market, stifled innovative ideas, and offered some platforms unfair benefits. The watchdog also stated that Google’s limits on adverts and app hosting appeared to violate sections of the Competition Act concerning the misuse of a dominant market position.
Google justifies the inclusion of DFS and Rummy in the test program, citing Indian law.
Google defended its actions, citing India’s inconsistent gaming regulations as the primary reason for caution. It stated that it included games like DFS and Rummy in the test run since Indian courts regard them as skill-based, in accordance with the legislation.
The corporation argued that its policies applied to everyone equally and denied favoritism. It stated that the test program sought to improve understanding of India’s developing real-money gaming sector. Google also stated that their cautions regarding Google Pay were intended to make transactions safer for customers.
This investigation is simply another example of rising antitrust scrutiny on foreign internet behemoths doing business in India. It follows other CCI measures, including a punishment for Meta for similar charges of abuse market power. The findings of this probe might have far-reaching implications for competition in India’s digital gaming landscape, setting an important precedent for how authorities handle this sector.
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