Delhi HC verdict on Google provides a ray of hope to startups: ADIF

The Delhi High Court’s verdict provides ‘a ray of hope’ to Indian startups, against Google’s ‘unfair lagaan’, the Alliance of Digital India Foundation (ADIF), an industry body of Indian startups said on Monday.

“Google’s ploy of CCI lacking quorum was dismissed by Delhi High Court,” the body said in a statement after the Delhi High Court told the Competition Commission of India (CCI) to decide a complaint filed by ADIF against Google’s new user-choice billing policy and decide the same by April 26, when Google’s new billing policy is scheduled to become operative.

It said that basis ADIF’s contempt application on Google’s ‘unfair commission’, the court paved way for the CCI to adjudicate the matter.

“The High Court observed that there is no impediment, legal or otherwise, in directing the CCI to take up
the applications under Section 42 of the Act, as filed by ADIF, for hearing the application on or before
26.04.2023,” ADIF said.

ADIF had filed that UCB (User Choice Billing system) by Google is in gross violation of CCI directives and the appropriate authority must provide a stay on the matter, till the matter is adjudicated.

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“ADIF has filed detailed submissions before the CCI on how Google is flouting the CCI order by way of the user choice billing. ADIF spokesperson shared that, as a next step, ADIF will present more factual evidence to buttress our point and assist the CCI in making an effective adjudication of the contravention
applications moved by us,” it said.

ADIF, which represents Indian startups like Paytm, Matrimony, MapmyIndia and TrulyMadly, had filed a plea with the court earlier this month seeking an urgent CCI review of Google’s new in-app purchase billing system.

It had alleged that Google was engaging in anticompetitive conduct by implementing the new policy and that it was taking advantage of the CCI lacking a quorum to look into the industry body’s complaints.

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