March 2024: Indian Apps Removed from Play Store: A Billing Battle

In an unexpected move on March 1st, 2024, Google removed several popular Indian apps from the Play Store, including Shaadi.com, Bharat Matrimony, Naukri.com, and others. This action sparked a heated debate and highlighted an ongoing conflict regarding service fees.

The crux of the issue lies in Google’s Play Store billing system. Google charges app developers a fee (ranging from 11% to 26%) for in-app purchases processed through their system. However, several Indian developers challenged these fees, arguing that they are excessive and significantly impact their profits.

This disagreement has been simmering for some time. Indian authorities have previously challenged Google’s fee structure, and legal decisions haven’t fully favoured Google’s position. Despite this, Google chose to enforce its policy, leading to the app removals.

The reactions to this move have been mixed.

• Google’s perspective: They maintain that the Play Store offers valuable services like app distribution, security checks, and payment processing. The fees collected, they argue, help maintain and improve these services.
• Indian developers’ perspective: They strongly contest the high fees, claiming they eat into their profits and stifle growth. Additionally, some argue that Google’s dominant position in the app store market gives them unfair leverage.

The Indian government has also expressed disapproval of Google’s actions, urging them to reconsider their decision. Talks are currently underway to find a solution that satisfies both parties.

Potential outcomes:

• Policy Change: Google might revise its Play Store billing policies specifically for the Indian market, potentially reaching a compromise on fees.
• Legal Battle: The dispute could escalate into a lengthy legal battle, impacting both Google and Indian developers.
• Alternative App Stores: This situation might encourage the development of alternative app stores in India, providing developers with more options.

A Glimmer of Hope: Interestingly, amidst the ongoing dialogue, some apps like Naukri.com, 99acres.com, and NaukriGulf made a comeback on the Play Store after complying with Google’s payment norms. The Indian government, however, maintained their stance, calling the delisting of Indian apps “unacceptable” and scheduled a meeting to discuss the issue further. While other apps remain delisted, this development offers a glimmer of hope for a potential resolution.

The future of this conflict remains uncertain. However, it undeniably casts light on the ongoing tension between tech giants and app developers, particularly in large markets like India. It serves as a reminder of the complex interplay between competition, fair practices, and the power dynamics in the digital age.