India orders anti-trust probe of Google for alleged Android abuse

Agencies
May 12, 2019

India’s antitrust watchdog has ordered an investigation into Alphabet Inc’s unit Google for allegedly abusing the dominant position of its popular Android mobile operating system to block rivals, two sources aware of the matter told Reuters.

The Competition Commission of India (CCI) last year started looking into the complaint, which is similar to one Google faced in Europe that resulted in a 4.34 billion euro (USD 5 billion) fine on the company, Reuters reported in February.

In mid-April, the CCI decided there was merit in the accusations made in the complaint and ordered its investigation unit to launch a full probe, one of the sources with direct knowledge of the matter said.

That decision, which was confirmed by the second source, has not been previously reported and the order calling the full investigation was not made public.

“It is a strong case for the CCI, given the EU precedent,” said the first source. “The CCI has (preliminarily) found Google abused its dominant position.”

The probe would be completed in about a year and Google executives would likely be summoned to appear before the CCI in coming months, the source said.

The CCI did not respond to a request for comment.

A Google spokesman said Android has enabled millions of Indians to connect to the internet by making mobile devices more affordable. Google looked forward to working with the CCI “to demonstrate how Android has led to more competition and innovation, not less”, the spokesman said in a statement. 

Reuters could not establish who filed the complaint, which involves more than one person.

The precise details of the complaint against Google in India could not be determined, but sources have told Reuters it is on the exact same lines as the case filed against the company in Europe.

In the EU case, regulators said Google forced manufacturers to pre-install Google Search and its Chrome browser, together with its Google Play app store, on Android devices, giving it an unfair advantage.

Google has appealed the order but, in a bid to quell EU antitrust concerns, last month said it's Android device users in Europe would be able to choose rival browsers and search engines. Once a user downloads a rival search app, it also prompts them to change their default search engine in their Google Chrome browser, if they so wish.

Android, used by device makers for free, features on about 88 per cent of the world’s smartphones. In India, about 99 per cent of the smartphones sold this year used the platform, Counterpoint Research estimates.

It remains possible that the CCI’s investigations unit could clear Google of any wrongdoing. The amount of fine that can be imposed on Google if the CCI rules against it were not immediately clear.

The Indian regulator has powers to impose a penalty of up to 10% of the relevant turnover of a company in the last three financial years if it is found to have abused its dominant position. In that case, Google’s earnings linked to its web browser and the search engine could be considered to assess the fine, New Delhi-based antitrust lawyer Gautam Shahi said.

Google does not disclose its India earnings from its web browser or search engine.

“They can either change their conduct in India voluntarily or let CCI investigate. A voluntary change in conduct may have an impact on the quantum of penalty if it’s imposed,” said Shahi.

The Indian investigation, however, is not the only antitrust trouble for the Mountain View, California-based company in its key market.

Last year, the CCI imposed a fine of 1.36 billion rupees (USD 19.46 million) on Google for “search bias” and abuse of its dominant position. It also found Google had put its commercial flight search function in a prominent position on the search results page.

Google appealed against that order, saying the ruling could cause it “irreparable” harm and reputational loss.

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Agencies
July 11,2020

Citing the current dismal aviation scenario, Air India is terminating the services of trainee cabin crew and cabin crew by withdrawing the offer of employment of those who were under training.

As per sources, the new crew and trainee pilots might reduce contracts from five years to one year. Sources said Air India is terminating 1,200 crew and employees who are more than 55-yr-old including 190 trainee pilots.

In a letter reviewed by IANS, Air India has informed an applicant who had been selected as cabin crew in August 2019 subject to successful completion of training.

"On behalf of Air India we would like to thank you for the interest shown by you in joining our organization. However, in view of the current aviation scenario, it would not be possible for Air India to impart any further training to you for engaging your services," the company said.

"In view of the above reasons, which are beyond the control of the company, it has been decided to discontinue your training arrangements and dispense with the offer of engagement with immediate effect. The bank guarantee furnished by you at the time of joining is returned herewith," Air India told the cabin crew.

"Once again on behalf of Air India we thank you for your cooperation and trust that you will appreciate the circumstances under which we are constrained to discontinue the training arrangements," the carrier said.

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Agencies
July 6,2020

The Covid-19 pandemic has made an unprecedented impact on the Indian businesses, particularly small and medium enterprises (SMEs) and startups. According to a joint survey by FICCI and Indian Angel Network (IAN), the pandemic has hit the businesses of around 70% startups.

With uncertainty in the business environment and an unexpected shift in priorities of the government as well as corporates, many startups are struggling to survive, it says.

In a nationwide survey on the 'Impact of Covid-19 on Indian Startups' involving 250 startups, 70% participants said their businesses had been impacted by Covid-19 and around 12% had shut operations.

The survey shows only 22% startups have cash reserves to meet the fixed cost expenses over the next 3-6 months, and 68% are reducing operational and administrative expenses.

Around 30% of the companies said they would retrench employees if the lockdown was extended too long. The 43% startups have already started 20-40% salary cuts over April-June.

Over 33% startups said investors had put the investment decision on hold and 10% said the deals had been scrapped. Only 8% startups had received funds as per the deals signed before Covid-19 outbreak, the survey revealed.

The reduced funding has forced startups to put a hold on business development and manufacturing activities, which has resulted in loss of projected orders.

The survey highlights the need of an urgent relief package for startups, including possible purchase orders from the government, tax relief and swifter tax refunds, and immediate fiscal support measures, including grants, soft loans and payroll grants.

Besides 250 startups, 61 incubators and investors also participated in the survey.

While 96% of investors accepted that their investments in startups had been impacted by Covid-19, 92% said their investments in startups would continue to be low over the next six months.

Around 59% investors said they would prefer to work with the existing portfolio firms in the coming months. Only 41% said they would consider new deals.

"A comparison of priority investment sectors before and during Covid-19 shows 35% investors are now looking at investments in healthcare startups, followed by EdTech, AI/Deep Tech, FinTech and Agri," said the survey.

Around 44% incubators surveyed said their day-to-day operations had been considerably hit by Covid-19. Most incubators are now supporting their portfolio firms by providing them virtual platforms to interact with mentors, investors and industries.

Dilip Chenoy, FICCI Secretary General, said, "The startup sector is stressed for survival at the moment. The investment sentiment is also subdued and is expected to remain so in the coming months. Lack of working capital and cash flows may lead to major layoffs over the next 3-6 months."

Indian startups needed an enabling ecosystem and flow of funds to continue operations, the survey said.

Padmaja Ruparel, President, Indian Angel Network & Co-Chair of FICCI Startup Committee, said, "In these uncertain times, as investors, we must play an important role to provide the Indian startups funding, mentoring and hand-holding support to stay afloat and come out at the other end of this crisis."

To that end, IAN recently announced a debt fund to help IAN portfolio companies raise working capital and ensure business continuity by partnering with debt providers.

This must be replicated on a wider scale, so a larger number of startups are provided the capital support to make it during these tough times, Ruparel said.

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Agencies
June 28,2020

The US space agency has thrown open a challenge to win over Rs 26 lakh, calling the global community to send novel design concepts for compact toilets that can operate in both microgravity and lunar gravity.

NASA is preparing for return to the Moon and innumerable activities to equip, shelter, and otherwise support future astronauts are underway.

The astronauts will be eating and drinking, and subsequently urinating and defecating in microgravity and lunar gravity.

NASA said that while astronauts are in the cabin and out of their spacesuits, they will need a toilet that has all the same capabilities as ones here on Earth.

The public designs for space toilet may be adapted for use in the Artemis lunar landers that take humans back to the Moon.

"Although space toilets already exist and are in use (at the International Space Station, for example), they are designed for microgravity only," the US space agency said in a statement.

NASA's Human Landing System Programme is looking for a next-generation device that is smaller, more efficient, and capable of working in both microgravity and lunar gravity.

The new NASA challenge includes a Technical category and Junior category and the last date to send designs is August 17.

NASA's Artemis Moon mission will land the first woman and next man on the lunar surface by 2024.

The Artemis programme is part of America's broader Moon to Mars exploration approach, in which astronauts will explore the Moon and experience gained there to enable humanity's next giant leap, sending humans to Mars.

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