On Friday, March 1, Google initiated the process of removing apps from 10 Indian companies due to their failure to pay service fees. This action came after Google published a blog earlier in the day, mentioning that despite using the platform, these companies, including some well-established ones, had not fulfilled their payment obligations. While Google did not reveal the specific names of the companies, it indicated that they included matrimonial apps.
“For years, no court or regulator has denied Google Play’s right to charge,” the company said on Friday, adding that the SC also “refused to interfere” with its right to do so. However, reports suggest that Info Edge’s flagship apps Naukri.com and 99acres were delisted by Google, in addition to BharatMatrimony, and Shaadi.com. Other apps that have been taken down include online dating apps Truly Madly and QuackQuack, vernacular video-streaming platform Stage, Balaji Telefilms’ Altt, and audio streaming and podcast app Kuku FM.
The issue was about Google charging a fee of 11 per cent to 26 per cent on in-app payments, after the CCI, an anti-competition body, ordered to end the previous system of charging 15 per cent to 30 per cent.
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Google: Continued Distribution Options for Concerned App Developers
According to Google’s official statement, the concerned apps had skipped paying service fees the company charges from developers for selling digital goods on the Play Store. Google further added that it had provided ample time, over three years, to the app developers to comply with the billing policy.
Google says that concerned app developers can continue to distribute their apps via third-party sources. Existing users who downloaded the app from the Play Store will also be able to use the respective apps without any interruptions.
Google also mentions in its post that certain app developers secured interim protections from the Supreme Court of India, and intentionally chose not to pay service fees to Google.
If we look closely, every delisted app offers some paid subscription. Hence, there is a possibility that the dispute between Google and app developers is around these lines.
Interestingly, apart from Kuku FM, Naukri.com, and 99acres, other apps that were removed from the Play Store have not commented on the situation yet. It is worth noting that these apps are still available on the Apple App Store.
Google also says it will return the apps to its Play Store once the developers comply with the regulations. It will be interesting to see how these apps react to the situation.
Google’s Play Store and Apple App Store are two of the biggest app markets on the internet. However, both companies are often criticized for charging high commission fees on in-app purchases. Companies like Epic Games have taken a legal stand against Apple and Google’s over their unfair app distribution policies.
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