Google Play Store policies case: CCI’s eight directions are ‘ex-ante’ in nature, antithetical to Competition Act, Google tells SC

Tech giant Google has asserted that the eight non-monetary directions issued by the Competition Commission of India (CCI) in its October 25 ruling of last year in the Google Play

Store policies case are ‘ex-ante’ in nature and antithetical to Competition Act 2002. The remedial directions are therefore beyond the jurisdiction of the Competition

watchdog, Google said in its appeal before Supreme Court filed just days before the apex court’s landmark ruling in the Android matter.Also, in its latest appeal, Google has

contended that six out of the eight remedial directions are not based on any finding of infringement against it under the Competition Act and claimed that the law requires a

finding of infringement before the Commission can pass remedial directions. The remedial directions purport to subject Google to the regulatory supervision of the CCI and direct

‘how business should be done’, even though no such power exists under the Competition Act. In doing so, the CCI has exceeded its jurisdiction and stepped into the role of a

sectoral regulator or Parliament, which it is not, Google appeal noted.The CCI’s “ultra vires” directions will have far-reaching implications on Google’s businesses and

harm end users and developers of applications (commonly referred to as “apps”), Google contended.Also, Google has alleged that the CCI order has denied the obligation to look

into “effects”, claiming that ‘effects doctrine’ (i.e., harm to competition is a necessary element for a finding of abuse of dominance) is well established under

Competition law.The Play Store policies case is the second case, the first being the Android matter, which saw the competition watchdog imposing monetary penalty besides issuing

non-monetary directions on the tech giant for its anti-competitor conduct. Also read:Android case. No relief, SC gives Google a week to follow CCI ordersIn the Play Store policies

case, the CCI had on October 25 last year — five days after its ruling in the Android matter—imposed a monetary penalty of ₹936.44 crore and issued a cease and desist order

besides series of directions, which will prise open Google’s walled garden “Play Store”.The penalty was imposed by CCI on Google for abusing its dominant position in Play

Store.The case pertains to Google’s Play Store policies that require App developers to exclusively and mandatorily use Google Play’s Billing System (GPBS) not only for

receiving payments for Apps (and other digital products like audio, video, and games) distributed/sold through the Google Play Store but also for certain in-app purchases like