Epic Games Inc. has intensified its legal battle against Alphabet Inc.’s Google, alleging a collusion with Samsung Electronics Co. to suppress rival app marketplaces through default settings on mobile devices globally. The developer of the popular game Fortnite previously secured a jury victory, asserting that Google monopolized app distribution on Android devices. A judge is poised to mandate changes aimed at enhancing access and competition in this space.
Allegations of Anticompetitive Conduct
In a lawsuit filed on Monday in San Francisco federal court, Epic contends that Google is collaborating with Samsung, the leading manufacturer of Android smartphones, to maintain its market supremacy. Samsung announced in July that all its devices would come with a default setting for a program designed to thwart malicious software. However, this setting also inadvertently restricts the download of competing Android apps, including those recently launched by Epic and Microsoft Corp., as detailed in the suit.
Epic seeks to halt what it describes as anticompetitive practices and is pursuing unspecified damages. The lawsuit emphasizes the importance of fostering competition in the Android app distribution market, which Epic argues is being undermined by these actions.
In response, Samsung asserted its commitment to promoting market competition and enhancing consumer choice. A spokesperson stated that the features integrated into its devices align with the company’s core principles of security, privacy, and user control, adding that users can disable the Auto Blocker feature at their discretion. Samsung plans to vigorously defend itself against what it calls Epic’s unfounded claims.
Google has opted not to comment on the ongoing litigation. Notably, a jury found in December that Google Play’s fees and practices hinder competition, and US District Judge James Donato, who oversaw the trial, is expected to rule on alterations to Google Play policies. Such changes could significantly impact the mobile app ecosystem, potentially costing Google billions in revenue.
During the previous trial, Epic presented evidence indicating that Google had entered into agreements with Samsung to uphold the Play Store’s dominance, which is prominently featured on the home screen of nearly all Android devices outside of China. Epic claims that the Play Store currently accounts for approximately 80% of all Android app downloads, excluding the Chinese market.
Epic’s latest lawsuit suggests that Google is attempting to “undo” the remedies proposed by Judge Donato even before a ruling is made. The complaint alleges that faced with the potential consequences of these remedies and the imminent arrival of substantial competition from Epic and Microsoft, Google has enlisted Samsung to neutralize these competitive threats and reinforce the barriers protecting the Play Store.
Prior to July, Samsung’s Auto Blocker was an opt-in feature aimed at safeguarding against malicious software. The shift to a default setting now positions the Play Store and Samsung Galaxy Store as the only “authorized sources” for app downloads, according to Epic. The company argues that this Auto Blocker feature is likely to further entrench Google’s dominance in the Android app distribution landscape.
The case is officially titled Epic Games Inc. v. Samsung Electronics Co., 24-cv-06843, in the US District Court for the Northern District of California (San Francisco).
