KPPU Starts Google Trial Regarding The Implementation Of The Google Play Billing System

Illustration of the Google Play Store (photo: Android Developer blog)

JAKARTA - On Friday, June 28, the Business Competition Supervisory Commission (KPPU) conducted its first trial against Google regarding Alleged Violations of Law Number 5 of 1999 regarding the Implementation of the Google Play Billing System.

The alleged slowdown by the investigator was chaired by Hilman Pujana, as well as Mohammad Reza and Eugenia Mardanugraha as members of the Assembly.

Sitting on the case

In this trial, Google allegedly requires companies that distribute their applications through the Google Play Store using the Google Play Billing (GPB) System, a payment method in applications distributed on the Google Play Store, in Indonesia.

For the use of the GBP, Google finally charged the application with a service/fee rate of 15-30 percent of the purchase.

The policy of using GPB requires the application downloaded from the Google Play Store to use GPB as a transaction method, and application developers must meet the existing provisions in the GPB.

In the trial report, it is known that Google also does not allow the use of other payment alternatives in GPB, which is effective from June 1, 2022. Apps that do not comply with the policy will be removed by the Google Play Store.

Meanwhile, the Google Play Store itself is the largest application distribution platform in Indonesia with a market share of 93 percent.

So, for some of the policies implemented by Google LLC, the investigator analyzed the impact on business competition.

Investigators also mentioned that the result of Google LLC's behavior through its policies has raised barriers to the payment supply service market.

Not only that, this policy is also considered to be able to eliminate payment options for consumers, as well as a decrease in Indonesia's developer income which is accompanied by an increase in reported income.

Meanwhile, the KPPU's official website said that the second trial would take place on July 16 with the agenda of submitting Reported Responses to LDP.