'Evaluating next steps': Google responds to Rs 936.44 crore penalty

New Delhi, Oct 26: A day after the Competition Commission of India imposed a penalty of Rs 936 for abusing its dominant position with respect to Play Store policies, Google on Wednesday said it was reviewing the decision and evaluating the next steps.

"We remain committed to our users and developers and are reviewing the decision to evaluate the next steps," a Google spokesperson told ANI.

"Indian developers have benefited from tech, security, consumer protections and unrivaled choice and flexibility that Android and Google Play provide. By keeping costs low, our model powered India's digital transformation and expanded access for hundreds of millions of Indians," the company said.

This is the second major CCI ruling against Google in less than a week.

On October 20, the watchdog imposed a penalty of Rs 1,337.76 crore on the company for abusing its dominant position in multiple markets in relation to Android mobile devices and ordered the internet major to cease and desist from various unfair business practices.

On Tuesday, CCI imposed a penalty of Rs. 936.44 crore on Google for abusing its dominant position with respect to its Play Store policies, apart from issuing a cease-and-desist order. The Commission also directed Google to modify its conduct within a defined timeline.

"For app developers, app stores have become a necessary medium for distribution of their apps to the end users and the availability of app store(s) is directly dependent on OS installed on a smart device. An appreciation of the market dynamics in licensable mobile operating system in India makes it evident that Google's Android OS has successfully reaped the indirect network effects. Google's Play Store constitutes the main distribution channel for app developers in the Android mobile ecosystem, which allows its owners to capitalize on the apps brought to market," CCI said in a statement.

Based on its assessment, the CCI found Google to be dominant in the markets for licensable OS for smart mobile devices and market for app stores for Android smart mobile OS, in India.