India’s antitrust watchdog, Competition Commission of India on Thursday imposed a fine of $21.17 million on the US Internet giant Google for abusing its dominant position in the local search market by biasing search results page in favor of its own reports, services CNBC. The ruling brings to an end a probe began by CCI at 2012 after the complaints in India were filed against Google that comprised matchmaking web site, Bharat Matrimony along with the nonprofit consumer protection team, Consumer Unity and Trust Society. The CCI says its investigation found that Google placed its commercial flight search function on its own flight search page, thus directing net users on its search results page as opposed to other smaller competitors page.
By doing this, Google has not only prevented companies from gaining market access, but they also pressured its goods on users of overall search devices. Google was found to be indulging in practices of search bias and by doing so, it causes harm to its competitors as well as to users, the CCI stated in a 190 page order. Google was minding its dominance on the marketplace for on-line general web search, to strengthen its position on the marketplace for on-line syndicate search providers. Finds it appropriate to impose a penalty on Google at the rate of 5 percent of their average total earnings made from India operations from various business segments for the financial years 2013, 2014 and 2015.
An unidentified Google spokesman said the company is reviewing the order imposed by the CCI. Google said it was constantly focused on innovating to support the evolving needs of the users. The CCI has confirmed that, on the majority of issues it examined, our behavior complies with Indian contest legislation. We are reviewing the narrow concerns identified by the Commission and will evaluate our next step, the company official said. A law firm representing Bharat Matrimony explained that the order of the ICC provided a welcome closure following a six year long struggle with the internet giant. Naval Satarawala Chopra, a partner at law firm Shardul Amarchand who represented Bharat Matrimony in the case stated In a statement, The Google choice is a milestone decision.
Its investigation report finding Google to be dominant and also to have abused his dominion preceded that of any authority. His last order is in line with the order of the European Commission. Nevertheless, Chopra was amazed For a small amount of the fine imposed on the search giant, that is equivalent about 5% of Google’s average annual revenue in India. Whilst finding Google to have abused its dominant position, the CCI has yet exercised a restraint in recognizing the dynamic nature of on-line markets rather than found Google guilty of each allegation, Chopra told. Google has 60 days to pay a fine for infring anti trust conduct, the CCI explained. The order was passed by the majority of 4-2 with just two members not agreeing to the order.