Google Play Store in India: 10 Apps Removed Over Fee Issues

Google has initiated the removal of apps belonging to 10 Indian companies from its Play Store, sparking controversy in one of its fastest-growing markets. The list includes well-known names such as Bharatmatrimony, Naukri, Jeevansathi and 99acres. The dispute primarily revolves around Google’s imposition of fees ranging from 11% to 26% on in-app payments.

Why Google removed the apps

Google said that these companies had violated its Play Store policies by evading its payment rules. Google requires developers to use its billing system for in-app purchases of digital goods and services, and pay a service fee of up to 30%. However, some Indian apps have been offering alternative payment methods to users, such as direct bank transfers or third-party wallets, to avoid paying Google.

Google said that it had given these developers more than three years to prepare and comply with its policies, but they opted against it. Google also said that these companies continue to comply with payment policies of other app stores, such as Apple’s App Store. Google said that it was taking necessary steps to ensure its policies are applied consistently across the ecosystem, as it does for any form of policy violation globally.

How the affected companies reacted

The removal of these apps has left millions of users without access to popular services, prompting concerns about the impact on both consumers and the affected companies. Some of the companies have protested against Google’s move, calling it unfair and monopolistic.

Murugavel Janakiraman, chief executive of Bharat Matrimony, said that Google had pulled about 10 of his company’s apps from the store. He said that he was evaluating legal options, and that he believed Google had violated in its removal of the apps. He called it a “dark day for the India internet”.

Lal Chand Bisu, co-founder and chief executive of Kuku FM, said that Google had turned into “the most evil” partner to do business with and that the Indian startup ecosystem was “completely” in its control. He said that his company had no option but to accept Google’s terms, which would make Kuku FM unaffordable for the majority of the country.

The Internet and Mobile Association of India (IAMAI), an industry body that represents some of the largest Indian startups as well as international firms, said that it had advised Google not to delist any apps from Play Store. It said that it was able to confirm that Google had sent notices to at least four of its members.

What this means for the Indian app market

India is a key overseas market for Google, where it has invested billions over the past decade. Android handsets command about 95% of the smartphone market in India, giving Google a dominant position in the app distribution space. The removal of these apps has raised questions about Google’s power and influence over the Indian app ecosystem, and whether it is abusing its market position.

This is not the first time Google has clashed with Indian companies over app store policies. In 2020, the tech giant briefly removed the popular Indian payments app Paytm from the Play Store, citing policy violations. Paytm had accused Google of being “judge, jury and executioner” and had launched its own mini app store to challenge Google’s dominance.

The dispute also comes at a time when India is drafting new regulations for online platforms, including e-commerce, social media and digital payments. The government has proposed stricter rules for data protection, content moderation and competition in the digital space. These rules could have implications for Google and other global tech giants operating in India.

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