Last week, Google India took down over a dozen apps from its Play Store because more than 10 companies failed to comply with its billing rules. According to Google, these companies have not been paying the required fee for in-app digital goods.
Some of the removed apps include Shaadi.com, Matrimony.com, Bharat Matrimony, Christian Matrimony, Naukri, 99acres, Alt Balaji, and QuackQuack. These apps were offering their own payment gateways and were not following Google’s billing policies.
Google further noted that these companies have been avoiding the fee for the past three years, despite similar charges on other app stores. Google charges developers a service fee of 15-30 percent for in-app purchases and subscriptions, based on the type of app and its annual revenue on Google Play.
Google has emphasized fair application of its policies, with over 200,000 Indian developers following these guidelines.
Google’s Payment Policy India
In 2020, Google clarified its Payments policy, giving Indian developers ample time to make necessary adjustments. In October 2022, the Competition Commission of India (CCI) fined Google Rs. 936.44 crore for engaging in anticompetitive practices regarding its Play Store policies.
Google extended user choice billing to all Indian developers, offering three billing options: integrating Google Play’s billing system, providing an alternative billing system alongside Google Play’s, or operating on a consumption-only basis without a service fee.
Google to Temporarily Reinstate Delisted Apps
After facing backlash from the government and startups, Google announced it will temporarily reinstate the apps of developers pending appeals in the Supreme Court.
Google maintains its right to enforce its business model, but it will invoice full service fees during this interim period and extend payment timelines for affected companies.
The government has intervened in the matter and plans to convene a meeting with Google and affected startup founders to find a solution. Union minister Ashwini Vaishnaw has expressed support for Indian startups, stating that such delisting cannot be allowed.
The issue will also be heard in the Supreme Court later this month on March 19, 2024.
Announcing the update, Google spokesperson, said:
In light of the ongoing developments related to Google Play Billing, we are temporarily reinstating the apps of developers with pending appeals in the Supreme Court. Google retains its right to implement and uphold its business model, as affirmed by various courts.
During this period, we will invoice our full applicable service fees and extend payment timelines for these companies. We anticipate a collaborative effort to find solutions that accommodate the needs of all stakeholders.