In a significant resolution to a long-standing antitrust investigation, the Competition Commission of India (CCI) has approved a settlement of ₹20.24 crore proposed by tech giant Google in a case concerning its alleged anti-competitive practices within the Android Smart TV ecosystem in India.
The case originated from a complaint filed by Kshitiz Arya and Purushottam Anand, who alleged that Google was abusing its dominant position by forcing smart TV manufacturers to pre-install its entire suite of applications and preventing them from exploring alternative versions of the Android operating system.
This, the complainants argued, violated Sections 3(4) and 4 of the Competition Act, 2002, which address anti-competitive agreements and abuse of dominant position, respectively. The complaint named Google LLC, Google India Pvt Ltd, Xiaomi Technology India Pvt Ltd, and TCL India Holding Pvt Ltd as parties involved.
Following a thorough investigation initiated by the Director General under Section 26(1) of the Act, the CCI concluded that Google held a dominant position in two crucial markets: the licensable Smart TV operating system market and the Android TV app store ecosystem. The investigation highlighted that Google’s Television App Distribution Agreement (TADA) and Android Compatibility Commitments (ACC) contained restrictive clauses.
These clauses not only tied the Google Play Store with other services like YouTube but also prohibited manufacturers from developing and using alternative versions (forks) of the Android operating system. The CCI determined that these practices hindered competition, stifled innovation, and limited market access for new players in the Android TV space. While allegations of exclusive supply and refusal to deal under Section 3(4) were not substantiated, the core findings of abuse of dominance under Section 4 were strongly supported by the evidence gathered.
To resolve the antitrust concerns, Google filed a settlement application under Section 48A of the Competition Act, which was evaluated in accordance with the CCI’s newly notified 2024 Settlement Regulations. As part of the settlement review process, the CCI invited feedback from a wide range of stakeholders, including 45 Original Equipment Manufacturers (OEMs) and app developers. This consultation aimed to assess the fairness and adequacy of the remedies proposed by Google to address the identified anti-competitive practices.
The final settlement proposal put forth by Google, termed the “New India Agreement,” includes significant commitments designed to end the contested bundling practices. Crucially, Google has agreed to offer standalone licenses for the Google Play Store and Play Services on Android TVs sold in India. This means that TV manufacturers will have the option to license these key Google services independently, without being compelled to pre-install the entire suite of Google applications.
Furthermore, the settlement waives the requirement for OEMs to adhere to Android Compatibility Commitments if their devices do not include any Google applications. This pivotal shift effectively empowers Indian OEMs to develop and sell Android-based smart TVs that can function without Google’s pre-installed app ecosystem. This newfound flexibility is expected to foster greater innovation and create a more competitive landscape within the Indian Android TV market.
After carefully evaluating the scale and gravity of the anti-competitive conduct identified during its investigation, and considering the proposed remedies and feedback from stakeholders, the CCI decided to accept Google’s settlement proposal. The Commission finalized the settlement amount at ₹20.24 crore, which includes a 15 percent discount as предусмотрено under the settlement framework.
This decision by the CCI signifies a maturing regulatory approach in India, balancing stringent enforcement with the possibility of resolution through settlements. It also underscores the increasing scrutiny that large technology companies face in the rapidly growing Indian market. The settlement is expected to usher in a new era of greater autonomy for OEMs operating in the Android TV ecosystem in India. The public version of the CCI’s final order is now accessible on the official website of the Competition Commission of India.
Summary:
- The CCI has approved Google’s ₹20.24 crore settlement in an Android TV antitrust case.
- Google was found to be abusing its dominant position by forcing pre-installation of its app suite and hindering alternative Android OS versions.
- Google’s “New India Agreement” offers standalone licenses for Play Store and Play Services and waives compatibility commitments for TVs without Google apps.
- The settlement aims to foster greater competition and innovation in the Indian Android TV market.
- The CCI’s decision reflects a maturing regulatory approach towards big tech in India.