Google Play Store App practices: France slaps $2 mn penalty on Google

Alphabet Inc.’s Google was fined 2 million euros ($2.2 million) by the Paris Commercial Court over abusive practices toward developers on Google Play Store.

By:BLOOMBERG
| Updated on: Aug 22 2022, 11:09 IST
Google
Alphabet Inc.'s Google will also have to change seven clauses from its contracts dating back to years 2015 and 2016 (Paresh Dave/REUTERS)

Alphabet Inc.'s Google was fined 2 million euros ($2.2 million) by the Paris Commercial Court over abusive practices toward developers on its app store.

The U.S. tech giant will also have to change seven clauses from its contracts dating back to years 2015 and 2016, that included a 30% commission on revenues generated by developers on the Google Play Store, according to a text of Monday's ruling.

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Google, as well as Apple, were taken to court in 2018 by the French Ministry of Finance, for imposing a “significant imbalance in the rights and obligations” concerning app developers, including the right for Google to unilaterally modify or terminate the contracts.

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“We are always looking to provide more support for developers and help them build sustainable businesses, including recently decreasing our service fees to 15% or less for 99% of developers,” a Google spokesperson said.

“We are disappointed in the decision and will review it closely”, the spokesperson added, noting that it was to early to say if the company would appeal. The decision from the Paris Commercial Court regarding Apple is still pending, according to AFP.

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First Published Date: 29 Mar, 22:47 IST
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