Alphabet Inc's Google has underscored that it takes its commitment to follow local laws and regulations seriously as India's antitrust body on Friday ordered a probe against the US company for implementation of its policies in a "discriminatory manner".
Indian startups have been at odds with Google for months over the fee it charges for in-app payments.
The dispute escalated earlier this month after Google removed more than 100 Indian apps from its app store for violations related to billing, though it restored them after the Indian government intervened.
"We are examining CCI's order initiating the investigation. The CCI has previously examined our service fee in detail between 2020 and 2022 and found no illegality. However, we take our commitment to comply with local laws and regulations in India seriously and will cooperate with the process in every way," said a Google spokesperson.
The startups had asked the Competition Commission of India (CCI) to look into the matter and the watchdog on Friday ordered an investigation, saying: "Google is implementing its policies in a discriminatory manner".
The competition watchdog also directed its investigation unit to complete the probe within 60 days.
The dispute centres on efforts by some Indian startups to stop Google from imposing a fee of 11% to 26% on in-app payments, after the country's antitrust authorities ordered it to dismantle a system of charging 15% to 30% in 2022.
In 2020, Google briefly removed popular Indian payments app Paytm from its Play Store citing some policy violations.