NEW DELHI: In an important development, the Competition Commission of India has ordered a fresh investigation against Google for abuse of its dominant position to deny fair advertising revenue to digital media organisation.
The commission has directed its investigation arm — Director General (DG) — to initiate a probe into the matter under the provisions of Section 26(1) of the Act and submit the report within 60 days.
The Digital News Publishers Association, which is into the business of news media has alleged that Google is the major stakeholder in the digital advertising space, and it unilaterally decides the amount to be paid to publishers for the content created by them, as well as the terms on which the aforesaid amounts have to be paid.
It further said that Google has substantial market share, not only in India but globally as well, and none of the competitors of Google have been able to match its market strength.
Digital News Publishers Association has alleged that by virtue of this dominant position, Google has been denying them a fair share of the revenue.
Agreeing to the complainant, the CCI in its order says that it appears that news publishers are dependent on Google for the majority of the traffic, which makes Google an indispensable trading partner.