Google pays ₹20.24 crore to settle Android TV antitrust case with CCI

Google has agreed to pay ₹20.24 crore to settle a long-running antitrust case filed by the Competition Commission of India (CCI) related to alleged anti-competitive practices in the Android TV market. The agreement marks the first settlement under India’s amended Competition Act, which introduced provisions for negotiated resolutions in 2023.

The case, originally opened in 2021 following a complaint, involved concerns over how Google bundled its Play Store and Play Services on Android smart TVs. The regulator launched a full investigation into the tech giant’s conduct in the segment.

In its official release on Monday, the CCI said it had accepted Google’s settlement proposal after reviewing the company’s commitments under a revised “New India Agreement.”

Under the terms of the agreement, Google will now offer a standalone licence for the Play Store and Play Services specifically for Android smart TVs in India. This move eliminates the earlier requirement for original equipment manufacturers (OEMs) to bundle Google apps or comply with default placement conditions.

The CCI also noted a significant change in compatibility policies. “By waiving the need for valid Android Compatibility Commitments (ACC) for devices shipped into India that do not include Google apps, OEMs can now sell and develop incompatible Android devices without violating the Television App Distribution Agreement (TADA),” the commission said.

Google said in a statement, "Google is committed to abiding by applicable local laws in every country where we operate and are grateful to the CCI for the opportunity to engage and present our case. We also thank the CCI for instituting processes which enable constructive engagements between companies and the market, allowing for continued investment and growth."

The move is expected to give OEMs greater freedom in designing and distributing smart TV products in India, potentially fostering a more competitive market environment.

Neelambera Sandeepan, Partner, Lakshmikumaran and Sridharan Attorneys commented, "The utility and effectiveness of the settlement mechanism is evident from its early adoption, i.e., within a year of enforcement. It is a fantastic tool to prevent long-drawn antitrust litigation and bring about quick market correction. It allows the parties to offer behavioural remedies that are practical and will not result in business disruption. The reduction in penalties is an added incentive for parties to opt for this mechanism. It was interesting to note that in the Google settlement order there was dissent expressed by one of the members and concerns were expressed regarding the effectiveness of the remedies accepted by the CCI. While the concerns are not unfounded, the purpose of settlement remedies is to arrive at a mutually agreeable conclusion which may or may not be equivalent of a prohibition of the alleged anti-competitive conduct."