Epic Games Triumphs in Legal Battle Against Google
In a significant development for the tech industry, Epic Games has successfully compelled Google to revise its Play Store business model, following the conclusion of a 2020 antitrust lawsuit. A U.S. judge has ruled that the Google Play Store operates as an illegal monopoly, prompting a series of mandated changes that will reshape the landscape for app developers and users alike, as reported by Reuters.
Under the new ruling, Google must enable Android users to download competing app stores, including the Epic Games Store, directly from the Google Play interface. Furthermore, third-party app stores will now have the ability to distribute apps that are typically available on Google Play, unless developers choose to opt out of this provision.
One of the most impactful changes involves the payment structure for app sales. Google can no longer enforce the use of its Google Pay Billing system for transactions conducted through the Play Store. This opens the door for developers to present alternative payment options, allowing them to retain a larger share of their sales revenue.
Additionally, developers will gain the freedom to link to alternative installation methods within their applications, informing users of various purchasing avenues. The ruling also prohibits Google from incentivizing carriers and device manufacturers to preinstall the Play Store, as well as from offering financial rewards to developers for launching their apps exclusively on its platform.
While Google retains the right to charge fees for “reasonable measures” aimed at ensuring user safety and security for apps downloaded through its store, the broader implications of this ruling are profound. The changes must be implemented within a three-year timeframe, commencing on November 1, 2024.
In a blog post, Google expressed its intention to appeal the verdict, arguing that the required modifications could jeopardize consumer privacy and security, complicate app promotion for developers, and ultimately stifle competition across devices. The tech giant contends that while the adjustments may appease Epic Games, they could inadvertently harm American consumers, developers, and device manufacturers.
Adding to the complexity of the situation, Epic Games has initiated another lawsuit against Google, filed just last week. This time, the company has accused Google and Samsung of colluding to obstruct sideloading on Galaxy devices via the Auto Blocker safety feature. However, Epic Games CEO Tim Sweeney has clarified that there is currently no evidence to substantiate claims of collaboration between the two companies regarding limitations on sideloading for Samsung smartphones.