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More than two weeks back, we wrote about how the Competition Commission of India had pulled up Google India for alleged anti-competitive practices in its search products. Google has had this issue with both the US Government and the EU. Since Google has become the defacto search engine in the world, there are some valid reasons to suspect anti-competitive practices both intentional and unintentional.
The CCI was reacting to complaints filed by CUTS International in 2012 and Bharat Matrimony in 2009 against Google for abusing its dominant position in search and search based advertising. The CCI’s probe has deemed that Google did not co-operate with the commission has thus levied a fine of Rs.1 crore ($166,000) on the company. Google maintains that it was actively co-operating with the CCI investigation inspite of the news of the fine being slapped on the company for precisely not doing that. The CCI says that Google did not comply with the directions given by the Director General with respect to documents and information.
Google made a statement after the news was out,
We’re disappointed by this development. While we are confident that our products are compliant with competition law in India, we continue to cooperate fully with the Competition Commission of India’s extensive and ongoing investigation. We’ve not yet received this procedural order, but will review it fully once we have.
Google might be on sticky territory on this one, since it stands to face a penalty of $5 billion fine if it is found that the company violated competitive norms.
Source | Press Information Bureau
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