Tech giant Google and Indian internet companies have reached an agreement to extend the timeline for payment of service fees, providing a temporary resolution to their billing policy disputes. The development comes after the Indian IT ministry intervened in the matter, prompting discussions between the parties involved.
Google announced that it would restore the status quo for numerous apps developed by ten companies, including Info Edge, Matrimony.com, and People Interactive, allowing them to offer in-app purchases as before. However, Google clarified that it would invoice the full applicable service fee during this interim period, with an extended payment timeline for the specified companies.
Anupam Mittal, founder of People Interactive, expressed optimism about the agreement, emphasizing the importance of a solution that reflects free-market principles and supports the long-term viability of Indian startups. Earlier, these apps had been delisted from the Play Store for violating Google’s billing policies, sparking concerns among Indian entrepreneurs about the sustainability of their business models.
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The Supreme Court is currently hearing appeals from local internet firms against Google’s policy, with the next hearing scheduled for March 19. Union IT minister Ashwini Vaishnaw recently met with founders and executives from affected internet companies and Google to facilitate dialogue and resolution. The government is actively working on a longer-term framework to prevent unilateral actions by tech giants from adversely affecting local firms.
As the discussions continue, Indian internet companies and Google have agreed to a short-term extension, providing them with additional time to reach a mutually beneficial solution. Murugavel Janakiraman, founder and CEO of Matrimony.com, remains hopeful about finding a resolution within the next four months, pending the Supreme Court’s verdict.