Big Tech asks India to reconsider antitrust law

Lobbyists representing American technology giants supposedly asked India to reconsider the proposed antitrust law.

The companies reported regulations a ban on data use and preferential treatment of partners may increase user costs, Reuters reported on Tuesday (May 28), citing a letter from a lobbying group representing Amazon, Apple AND Google.

The report says the proposal follows an Indian government panel’s proposal for a new antitrust law in February in response to what the panel says is increasing the market power of a handful of digital giants.

The proposed “Digital Competition Act” is similar to a landmark solution for the European Union Digital Markets Actaccording to the report. It will apply to large companies, including those with a global turnover of more than $30 billion and whose digital services have at least 10 million local users, conditions Which apply to tech giants like Amazon and Google.

The report says the law prohibits companies from using non-public data of their users, promoting their own services over competitors and restricting downloads of third-party applications.

In a letter to the Indian Ministry of Corporate Affairs US-India Business Council (USIBC) said companies are using these strategies to introduce new product features and improve customer safetyAccording to the report.

India’s proposed law has a “significantly broader scope” than EU law, according to the USIBC letter – part of US Chamber of Commerce – he arguedstated in the report.

“Targeted companies are likely to reduce investments in India, pass on price increases for digital services and limit the scope of services,” the letter said.

USIBC did not respond to PYMNTS’ request for comment.

These efforts come at a time when tech giants face continued antitrust pressure around the world. Apple, for example, filed a lawsuit last week for nearly $2 billion antitrust a penalty imposed by European regulators who found the company had abused its power in the music streaming market.

In April, Google, called for the cancellation of the above-mentioned US Department of Justice‘S antitrust lawsuit against it, alleging that the government failed to demonstrate that the company had a 70% share of the digital advertising market.

Department sued Google last year, accusing the company of illegally taking control of the online advertising sector and calling on it to do so be broken.