Even as the Center is silent on Google’s startup issues, the founder of digital payments firm Paytm, Vijay Shekhar Sharma, said the government needs to regulate top search in the country.
Many startup founders, including Paytm’s Sharma, have been in talks over the past week with the Ministry of Electronics and Information Technology (MeitY) to stop Google’s self-government over the country’s tech landscape.
Launching a scathing attack on Google, Sharma alleged Monday that Google and Facebook together take about 50% of a tech startup’s investments and nearly control its balance sheets, either through ad spend or fee fees. with no alternative left for Indian startups.
“Google’s policies are arbitrary and the implementation of those policies is even more arbitrary. Therefore, the definition of these policies governing India’s tech ecosystem remains ‘arbitrary’ and there is not even a court that we can turn to. Google is a ruler of India’s technology business as 95% of customers use Google’s Play Store in India, “said Sharma.
He added that due to the duopoly of Google and Facebook, no significant investment has been made in ‘digital India’ as these tech and social media conglomerates consume most of the startup funds.
Paytm was temporarily removed from the Google Play store on September 18 for several hours, after Google claimed that the latter had violated its guidelines on real money games for app developers.
“India has not made a significant investment in Digital India because there is Google, which takes 50% of our money that we raise. So how can tech companies be expected to be sustainable in India? And they are doing it arbitrarily. Google’s plan is clear: we are rulers and you will never be able to enter the big leagues. So stay away or we can kill you! “Sharma said.
On Monday, Google said it will “establish listening sessions” with “leading Indian startups” to “understand their concerns.” It also extended the time, developers have to integrate their Play Billing system into their applications until March 31, 2022.
A senior government official told Mint, on condition of anonymity, that the government will examine “holistically” concerns from startups about Google’s billing policy.
“The government is analyzing the issue in a comprehensive manner. It’s not just about what the few big Indian startups have to say. The government will have to see and evaluate what will help the startup ecosystem, “said the official.
Sharma said that while startups spend almost ₹With 30 billion rupees in advertising or commissions to Google, it takes this money off the coast, almost looting India’s tech ecosystem through what is popularly called “Google Tax”, by tech developers and big money. Indian companies. Businesses are also forced to pay and comply with Google, due to the lack of alternatives.
“Google must not create policies that are contrary to the laws and growth of this country, and must comply with and be controlled by the law of this country. So that if there is a commercial dispute, it can be done under the regulation and laws of this land, and that is what we are looking for ”, relayed Sharma.
In a virtual meeting on Saturday with Ministry of Electronics and Information Technology (MeitY) Secretary Ajay Prakash Sawhney, more than two dozen startups expressed apprehension over Google’s growing dominance and control over Indian internet companies. .
Last week, Google, in a blog post, tightened its Play Store policies, which required Android app developers to take advantage of the search engine’s billing system to sell digital products and services, charging a 30 % on each transaction.
“Our expectation is that the government should take measures in the short, medium and long term to guarantee an ‘Atmanirbhar Bharat’, because we cannot build a digital India through this duopoly. Your dominance is demonstrated by opening a (competitor’s) app, giving a warning, and deleting Indian consumer data. We had asked the government to stop Google commissions on the Play Store, so we got a break, which is good, “said Sharma.
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