Indian startups accuse Google of unfair ad practices, here's why

The Alliance of Digital India Foundation (ADIF) has lodged a complaint with the Competition Commission of India (CCI) on August 5, accusing Google of unfair practices in online advertising. According to a report by The Economic Times, ADIF, a policy think tank supporting Indian startups, criticised Google's control of online search and display advertising.

ADIF's complaint highlights how Google's dominant position and opaque ad ranking system, described as a “black-box approach,” leave advertisers clueless about what they are paying for.

Prateek Jain, ADIF’s Associate Director of Startup and Alliances, emphasised the importance of a fair digital advertising market for the growth of Indian startups. He stated that the complaint aims to ensure fairness, transparency, and competition in this critical market.

ADIF argues that Google's dominance has hindered competition and harmed Indian businesses. Notably, Google earns 97% of its revenue from advertising. The complaint outlines several issues:

Search Advertising: ADIF claims Google enforces unfair ad policies, lacks transparency in ad rankings, and raises ad prices through trademark keyword bidding. Display Advertising: ADIF alleges Google’s control over the ad tech stack and self-preferencing limits competition and opportunities for other players.

ADIF believes resolving these issues is vital for the startup ecosystem and the digital advertising landscape in India. They are seeking CCI’s intervention to investigate and address Google’s practices.