CUTS Sues Facebook for Service Charge on Social Games

CUTS a consumer interest oriented NGO has filed a case against Facebook. Facebook is a social networking website with 500 million users. Facebook provides social games on its website. Some social games are provided by independent game developers. Zynga is dominant player in market. Facebook has started charging 30% of service charge from game developers except Zynga.

Informant alleges that this will amount to abuse of dominant position under Section 4 of Competition Act 2002. I will amount to entry barrier to new players and drive existing players out of the market.

CCI Passes Order in Singhania & Partners Microsoft Corporation India Private Limited

Singhania & Partners a law firm in India sued Microsoft Corporation India Pvt. Limited, alleging resale price maintenance and abuse of dominant position.

Microsoft offers two of software licenses: OEM(Original Equipment Manufacturer) license and vollume license. OEM license is for new computers. While vollume license is for old computers. Distributors charge prices double of OEM license for vollume license. Informant alleges it as discriminatory pricing, resale price maintenance and abuse of dominant position.

Discriminatory pricing could not be proved because informant could not prove different licenses as similar product.

Resale price maintenance could not be proved there is no minimum price fixing by Microsoft. Informant could not prove entry barrier in relevant market.

Abuse of dominant position could not be proved because of lack of sufficient evidence.