App delisting cannot be permitted: Union Minister for IT and Telecom

Posted 04 Mar 2024

Updated 27 Mar 2024

2 min read

Previously, Google delisted some well-established mobile applications from its platform and Android Play Store over a dispute on fee payments.
- IAMAI (Internet and Mobile Association of India), an industry association, condemned the removal of apps and some start-up founders have raised issue of digital monopolies.
Digital monopolies refer to a scenario wherein a few companies, such as e-commerce giants or Big Tech companies, etc., tend to dominate the digital market in their specific domains.

Threats posed by Digital Monopolies
- Anti-competitive practices: Self-preferencing, restricting third-party applications, mergers and acquisitions, etc. (e.g., Apple restricting installation of third-party applications on iPhones.)
- Limited consumer choices: Anti-steering provisions of digital firms to prevent users to leave the platform and use other alternatives. (e.g., App stores mandating use of own payments systems.)
- Data privacy and security: Concentration of user data may be misused for surveillance, privacy breach, targeted marketing, etc.

Recommendations (Standing Committee on Finance Report, 2022)
- Systemically Important Digital Intermediaries (SIDIs): Categorize leading players in digital markets as SIDIs and subject them to specific ex-ante provisions to ensure fair competition.
- Legal and Institutional: Enact Digital Competition Act and strengthen CCI.

Competition Commission of India (CCI): Protects Indian markets against anti-competitive practices by enterprises.

Consumer Protection (E-Commerce) Rules, 2020: To regulate e-commerce platforms and protect rights of consumers.
Digital Personal Data Protection Act, 2023: To ensure data privacy and security.

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