The Competition Commission of India (CCI) ruled in October
that Google, owned by Alphabet, exploited its dominant position in Android and
told it to remove restrictions on device makers, including those related to
pre-installation of apps and ensuring exclusivity of its search. It also fined
Google $161 million.
On Thursday, Google lost a challenge in the Supreme Court to
block the directives, getting seven days to comply.
"We remain committed to our users and partners and will
cooperate with the CCI on the way forward," a Google spokesperson said in
a statement to Reuters, without explaining the steps it could take.
"We are reviewing the details of yesterday's decision
which is limited to interim relief and did not decide the merits of our
appeal," Google said, adding that it would continue to pursue its legal
challenge to the Android decision.
India's highest court has said a lower tribunal - where
Google first challenged the Android directives - can continue to hear the
company's appeal and must rule by March 31.
About 97 percent of 600 million smartphones in India run on
Android, according to Counterpoint Research estimates. Apple has just a 3
percent share.
Hoping to block the implementation of the CCI directives,
Google had challenged the CCI order in the Supreme Court by warning it could
stall the growth of the Android ecosystem. It also said it would be forced to
alter arrangements with more than 1,100 device manufacturers and thousands of
app developers if the directives kick in.
Google has been concerned about India's decision as the
steps are seen as more sweeping than those imposed in the European Commission's
2018 ruling. There it was fined for putting in place what the Commission called
unlawful restrictions on Android mobile device makers. Google is still
challenging the record $4.3 billion fine
in that case.
In Europe, Google made changes later including letting
Android device users pick their default search engine and said device makers
will be able to license the Google mobile application suite separately from the
Google Search App or the Chrome browser.
Some analysts say Google will now need to make similar
changes in India to comply with directives.
Faisal Kawoosa, founder of Indian research firm Techarc,
said Google may have to consider other business models such as charging an
upfront fee to startups to provide access to the Android platform and its Play
Store. © Reuters
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