India’s Supreme Court Admits Appeals in Google Play Store Antitrust Case

The Supreme Court on Friday admitted a batch of appeals filed by Google, the Competition Commission of India (CCI), and the Alliance of Digital India Foundation (ADIF) challenging a ruling by the National Company Law Appellate Tribunal (NCLAT) in the Google Play Store antitrust case.

 

The case originates from a CCI investigation launched in November 2020 into Google’s billing policies on the Play Store. In its October 2022 order, the CCI found that Google had abused its dominant position by enforcing the mandatory use of its Google Play Billing System (GPBS) for app transactions, while exempting its own platforms such as YouTube from similar charges.

 

Google was fined ₹936.44 crore and directed to cease anti-competitive conduct, including by allowing alternative billing systems and increasing transparency in its data practices.

 

On March 28, the NCLAT largely upheld the CCI’s findings, ruling that Google had violated Section 4(2)(e) of the Competition Act by leveraging its dominance in the markets for licensable smartphone operating systems and Android app stores to promote Google Pay. The tribunal also agreed with the CCI’s conclusion under Section 4(2)(a)(i) that the mandatory use of GPBS imposed unfair and discriminatory terms on app developers.

 

However, the NCLAT overturned parts of the CCI order. It dismissed findings related to denial of market access and stifling of innovation, observing that Google’s billing system accounted for less than 1 per cent of UPI transactions and that evidence of foreclosure or restriction on technical development was insufficient.

 

The tribunal also struck down several “ex-ante” directions issued by the CCI -- preventive measures based on Google's classification as a “gatekeeper” -- holding that these exceeded the scope of powers granted under India’s existing “ex-post” competition law. This view relied heavily on the findings of the 2024 Digital Competition Law Committee Report.

 

Significantly, the NCLAT recalculated the monetary penalty, concluding that the CCI had erred by applying the fine to Google’s global turnover. The appellate tribunal limited the fine to revenues generated via the Play Store, thereby reducing the amount from ₹936.44 crore to ₹216.69 crore.

On May 1, the NCLAT issued a clarification reinstating two earlier directions: one requiring Google to disclose its data usage policies and the other prohibiting the use of billing data for competitive advantage. Google challenged this clarification as an impermissible review of its earlier order, prompting it to move the Supreme Court.

 

A Bench comprising Justices PS Narasimha and AS Chandurkar has scheduled the matter for hearing in November.

 

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