Google vs Epic Games lawsuit: Google agrees to global changes in Android app distribution and payment systems

Epic vs Google agreement terms

Google and Epic Games have potentially settled their antitrust case in the United States with a proposed agreement that aims to address Epic’s accusations of unfair monopolization by Google on Android app distribution and in-app payment systems. The agreement, pending approval from Judge James Donato, seeks to lower developer fees, foster competition, and provide users with more choices in app selection and payment methods.

What was it about:

The conflict between Google and Epic Games began in 2020 when Google removed Fortnite from the Play Store due to Epic’s introduction of its own in-app payment method to avoid high commission fees. Epic retaliated by filing a lawsuit alleging anticompetitive practices by Google to control Android app distribution and payments. In 2023, a jury ruled in favor of Epic, finding Google guilty of monopolistic behavior and ordering changes to promote more competition.

Google’s new terms will allow easier installation of third-party app stores that meet security standards and enable developers to direct users to various payment options through internal and external links. Google plans to implement a capped service fee structure of either 9% or 20% based on transaction type. Sameer Samat, President of the Android Ecosystem at Google, believes the proposed measures strike a balance between user safety and flexibility for app creators and consumers. Epic Games CEO Tim Sweeney praised the resolution as “awesome,” stating that it aligns with Android’s original vision as an open platform.

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Google vs Epic Games lawsuit: Google agrees to global changes in Android app distribution and payment systems