Google seeks settlement in Android TV market case in India: Here’s what may be required

Google has reportedly offered a settlement antitrust case With Competition Commission of India (CCI). A report by Livemint, citing two people familiar with the matter, shows that the tech giant has agreed to resolve the matter. The alleged proposal is also the first time any company has taken advantage of the newly introduced competition watchdog settlement decision.The proposed settlement offer follows an investigation conducted by CCI who stated that the company cooperates with smart TV producers violated national laws competition law. However, details of Google’s proposed settlement remain undisclosed.

What are the provisions of the CCI settlement and what actions can Google take?

The CCI issued regulations for the clearing arrangement in the country’s competition law in March 2023. Under this scheme, companies found guilty anti-competitive practices in India will get a 15% reduction in the fine imposed by the CCI if it wants to end the case. These rules will enable companies to proactively address regulatory issues. They may even offer voluntary commitments before the investigation is completed.
Meanwhile, if the investigation ends, as in the case of Google, the company may offer a settlement with a reduced penalty. This system aims to resolve antitrust issues more quickly and reduce lengthy court proceedings.

Why Google was found guilty

In June 2021, the CCI ordered an investigation into the company after two people accused Google LLC and Google India of violating competition laws. The survey was commissioned after examining two agreements signed by Google with smart TV makers such as Xiaomi – the TV App Distribution Agreement (TADA) and the Android Compatibility Commitment (ACC), the report noted.
After initial observations, the CCI noted that these agreements impose restrictions on TV manufacturers, forcing them to pre-install a suite of Google apps even if they only want one, such as YouTube. The CCI notes that this practice limits competition and consumer choice for Android TVs market.
Additionally, the CCI found that these agreements restrict innovation by discouraging manufacturers from developing and selling devices running alternative versions of Android (so-called Android forks). This restriction potentially hinders technological progress and harms consumers by violating Indian competition law.
The CCI’s Director General of Investigations (DG) recently sent a report to the antitrust body to confirm allegations of Google’s anti-competitive behavior. The report, citing sources, indicated that the investigation found that Google had violated regulations prohibiting anti-competitive agreements and had abused its dominant position in the Android TV market.