The removal of the Paytm app, which eliminates the ability to get new users, prompted widespread disapproval among India’s startup ecosystem, as the US-based tech giant’s unit.
Founder of Paytm Vijay Shekhar Sharma – who said Google was acting as “judge, jury and executioner” – told TOI that the company was notified in the morning that the application was being removed due to a Cricket promotion of stickers in payments that was running. In the promotion, a user who collects five stickers is entitled to a refund. Many of these schemes also run on other payment platforms. It had also received warnings for promoting Paytm First Games, a sports fantasy platform, in its main application three times.
When the Paytm app was removed, Google, without naming Paytm, said in a blog post that it does not allow online casinos or support unregulated gambling apps that facilitate sports betting. “This includes if an application takes consumers to an external website that allows them to participate in paid tournaments to win real money or cash prizes, it is a violation of our policies,” said the United States-based Internet search giant. United. Other online fantasy platforms such as Dream11, MPL, and My11Circle have also not been available on the Google Play Store in recent years due to their policy.
Sources said Google’s action was led by Paytm promoting its fantasy gaming unit through its main app. “They (Paytm) were promoting Paytm First Games links within the main Paytm application. Clicking on it will take you to the Paytm fantasy gaming platform, which includes betting. That is not allowed according to Play Store policy. That’s why the app had to be removed, “said a person close to the development. While gambling is not allowed in India, various state courts have called fantasy sports a game of” skill “and not” chance. “, so legal from now on.
But even though Google doesn’t allow fancy game apps on its app store, these platforms can advertise on its search engine, which various experts have pointed to as a contradictory policy. “An undetermined implication would be compliance with their policies by sports fantasy applications such as Dream 11 and MPL that are not available directly from the Google Play Store platform, but they appear in advertisements and induce a similar effect on their user, eventually leading to a violation of their gaming policies. Therefore, Google may need to adjust its policies to address the implications of applications placed directly on its platform and the content available on it, ”said Sonam Chandwani, Managing Partner at KS Legal & Associates.
The development of Paytm First Games came at a critical time as it has outlined a marketing and advertising budget of Rs 300 million for the next 12 months, starting with IPL. Removal of Google play Store blocks its main channel to acquire new customers.
Many in the startup ecosystem have questioned whether Google’s moves are indicative of misusing its influence on India’s internet economy. Unlike markets like the US, where Google’s Android and Apple’s iOS have the same market share, in India the former rules with a 90-95% share in smartphones.
Earlier this year, another payments app, Mobikwik, was removed from the Google Play Store for the advertising contact tracker app. Aarogya Setu which he said was ordered by RBI. The app came back in a day.
The entrepreneurs said that while Google has a right to have its policies, the implementation and the way it handles non-compliance could be better. “The action of taking off the application is quite abrupt. There is usually no warning. If it’s Paytm, it’ll be ready in a few hours; if it is a lesser known application, it will take a few days. Google also needs to develop local teams with a clear understanding of the Indian context. Right now, it appears that this is being done through a global team, ”said Subramanya SV, co-founder of investment management app Fisdom.
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