Indonesia’s antitrust agency has fined Google $12.4 million for engaging in unfair business practices through its Google Play Store payment system. The fine was imposed on Tuesday after the agency confirmed allegations against the tech giant, according to a report by Reuters.
The investigation, launched in 2022, revealed that Google compelled local app developers to use its Google Play Billing system, which charges higher fees compared to other payment systems. Developers who refused to comply faced the removal of their apps from the Play Store.
Findings from the probe showed that Google charged fees as high as 30%, adversely impacting the earnings of developers. With a 93% market share among Indonesia’s 280 million people, Google’s practices were deemed a violation of the country’s antitrust laws.
A Google spokesperson stated that the company plans to appeal the decision, saying, “Our current practices are increasing competition in Indonesia’s app ecosystem. We remain committed to complying with local laws.”
Notably, Google has recently introduced alternative billing options for developers. However, this is not the first time the company has faced antitrust penalties. Google has previously paid over $8.3 billion in fines for anti-competitive practices in the European Union.
