Following a meeting between the Silicon Valley Corporation, the protesting enterprises, and India’s Information Technology Minister, Ashwini Vaishnaw, Google said that it will restore all of the applications that are owned by Indian companies.
In the spirit of collaboration, we are temporarily restoring the applications that were developed by the developers, who have appeals that are now being heard by the Supreme Court. In accordance with the precedents set by a number of courts, Google continues to assert its right to adopt and enforce its business model. During this interim period, we will send out invoices for our entire relevant service prices, and we are also extending the payment schedules for these businesses. In a statement, the corporation expressed its excitement about the prospect of working together to discover solutions that take into account the requirements of all involved parties.
Indian businesses whose applications Google delisted a week ago have reluctantly started to follow invoicing regulations in order to regain access to the Play Store.
Reintroduced to the Play Store on Friday were applications such as Shaadi, Matrimony.com, and BharatMatrimony. Info Edge’s Naukri and 99acres, Kuku FM and Stage, Alt Balaji’s Altt, and the dating service QuackQuack are among the additional applications that will be returning.
In terms of in-app purchases, Google currently offers developers three options: a Google Play billing system where developers must pay a 15% or 30% service fee; a consumption-only model where developers only allow account holders access to in-app purchases; or an alternative billing system where the developer agrees to reimburse Google for the service fee at a rate of about 4%. While others have elected for Google Play billing, a significant number of dissident developers have opted for a consumption-only model for the time being.
Additionally, the companies have petitioned the government and India’s antitrust watchdog for intervention. IT Minister Ashwini Vaishnaw stated over the weekend that he had discussed the matter with Google and was of the opinion that the delisting of applications by Google “cannot be permitted.”The minister is scheduled to meet with the impacted developers today.
Google was criticized by Lal Chand Bisu, co-founder and chief executive officer of Kuku FM, for providing preferential treatment to large corporations such as Spotify. During the Epic vs. Google trial in the United States last year, the search behemoth acknowledged that Spotify does not incur any charges on Google Play for in-app purchases due to a contractual agreement between the two entities.
Distribution problems for developers
Startups noted last month at an event where PhonePe, an alternative app store supported by Walmart, was introduced that they must invest a significant amount of money in marketing to generate installations and that Google’s fees are an additional financial burden.
Anupam Mittal, the founder of Shaadi.com, reiterated this sentiment on Monday, stating that Google’s fee structure causes businesses to lose a substantial portion of their revenue.
Although alternate app stores are permitted on the Android platform, they have yet to achieve significant popularity. Aptoid, for example, disclosed to the media last month that it facilitates a half-billion downloads annually from around the globe. PhonePe’s recently introduced Indus App Store in India is in its infancy and may not offer an adequate platform for app distribution.
Murugavel Janakiraman, chief executive officer of BharatMatrimony, stated in an interview with the Hindustan Times that sideloading is not a viable option for the company due to the fact that it has over 150 apps on the Play Store.
“[They] are not available for sideloading because the majority of users access the Play Store to acquire applications. Furthermore, what are alternative app stores, such as PhonePe’s recently introduced Indus app store? Janakiraman communicated with the source.
Google’s argument
Google has maintained its position, asserting that it has offered developers numerous alternatives to adhere to its regulations. According to the search engine behemoth, fewer than sixty developers in India incur fees in excess of 15%.
“Allowing this small group of developers differential treatment from the vast majority of developers who are paying their fair share creates an uneven playing field across the ecosystem and puts all other apps and games at a competitive disadvantage,” the company wrote in a blog post on Friday. “While we always strive to work with developers to guide them through our policies and find workable solutions,” the company added.
Additionally, Google disclosed that it has granted developers a period of three years to adhere to the regulations set forth by the Play Store. Furthermore, it was stated that Google granted a three-week grace period to developers subsequent to the Supreme Court’s denial of the petition made by protesting firms to halt Google’s actions against them.
Firms seeking regulatory action
The companies that are expressing dissent towards Google’s action are advocating for regulatory intervention. Sanjeev Bikchandani, co-founder of Info Edge and creator of property listing and job search applications Naukri and 99Acres, has petitioned the Competition Commission of India (CCI) to investigate Google.
Minister of IT Vaishnaw announced on March 5 that Google has consented to relist every application that was removed earlier that month.
Along with other founders, Snehil Khanor, co-founder and chief executive officer of the dating service TrulyMadly, argued that Google has not complied with a previous CCI ruling permitting developers to use a third-party billing system.
Google’s decision to delist applications has “deeply concerned” the Internet and Mobile Association of India (IAMAI), an industry association that represents numerous multinational corporations and the largest Indian entrepreneurs.
Reuters reports that on March 1, Indian entrepreneurs submitted a letter to the CCI requesting that the antitrust organization intervene and compel Google to restore unrestored applications.