Allegations on Google, Competition Commission of India started investigations after complaint of Winzo Games.
The Competition Commission of India (CCI) has initiated an investigation into Google, following a complaint by Winzo Games. The gaming company accused Google of discriminatory practices against Real Money Gaming (RMG) apps through its Play Store policies, ad restrictions, and payment warnings.
The CCI has expressed concern that Google may be breaching Sections 4(2)(a)(i), 4(2)(b), and 4(2)(c) of the Competition Act, and has ordered a comprehensive investigation. The Director General has been instructed to conclude the inquiry within 60 days.
Key Points from Winzo Games’ Allegations:
- Exclusion from Play Store: Winzo Games claimed that Google is blocking RMG apps, especially skill-based gaming apps, from its Play Store, forcing developers to use “sideloading” (downloading apps from external sites). Winzo argued that Google displays misleading warnings about the risks of such apps, damaging the app’s reputation and deterring potential users.
- Unfair Advantage for Certain Apps: Winzo accused Google of allowing only Daily Fantasy Sports (DFS) and Rummy apps on its Play Store under a special program since September 2022. Winzo believes this selective policy gives these apps an unfair advantage, distorting market competition by sidelining other RMG apps.
- Payment Warnings: Winzo also alleged that Google flags payments to non-DFS and non-Rummy apps as risky, harming their credibility while not applying the same treatment to DFS and Rummy apps.
- Ad Restrictions: Since November 2022, Winzo claimed that Google Ads has limited advertising for RMG apps, including Winzo, which relies on Google Ads for over 68% of its app installations. Winzo said that the inability to advertise on Google’s platform has hurt its growth and reach.
- Competitive Edge for DFS and Rummy Apps: Winzo contended that Google’s policy gives platforms like Dream11 a competitive advantage, leading to an increased market share for these apps at the expense of other RMG platforms.
Google’s Defense: Google argued that its advertising policies for DFS and Rummy apps are in line with Indian laws, which recognize these games as skill-based. It also stated that it allows competition and consumer choice by permitting trademarked terms in keyword auctions.
CCI’s Preliminary View: The CCI found that Google’s restrictions on advertising for certain RMG apps could be discriminatory. By limiting ads to selected apps like DFS and Rummy, Google may distort the competition in the RMG sector.
The Commission also criticized Google’s pilot program, which allows only DFS and Rummy apps on the Play Store, denying access to other RMG apps. This selective treatment could give an unfair market advantage to specific app categories and stifle competition for others.
On Payment Warnings: The CCI expressed concern over the payment warnings displayed for non-DFS and non-Rummy apps and has decided to investigate whether these warnings are tied to the app selection in Google’s pilot program.
Regarding Sideloading: The CCI chose not to address the issue of sideloading, as it is under review by the Supreme Court.
Representation:
- Winzo Games was represented by lawyers Abhishek Malhotra, Srishti Gupta, Atmaja Tripathi, Anukriti Trivedi, and Nishtha Chaturvedi.
- Google was represented by Senior Advocate Sajan Poovayya and several other lawyers.
Disclaimer: (Only the headline and picture of this report may have been reworked by the KanoonKiBaat staff; the rest of the content is auto-generated from a syndicated feed.)
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