Google is facing an antitrust investigation by India’s Competition Commission over allegations that it is abusing its dominant market position to promote its own mobile payments app ahead of other competing options, according to a report in Finextra.
The investigation has been prompted by the complaints of an unidentified ‘informant’, who points out that Google gives prominence to its own mobile payments app during the set up of an Android smartphone and mandates the use of Google Pay to buy apps and make in-app payments on the Google Play App Store.
Google Pay, formerly known as Tez, currently processes approximately 40% of all transactions over India’s digital payments network UPI.
However, its prominence is already under threat from a new ruling by the National Payments Corporation of India, which in Jan. 2021 is imposing a 30% cap of total volume of transactions processed in UPI by third party app providers.
The informant notes that a similar investigation into Apple’s terms and conditions for mobile payments is underway in the European Union.