Alphabet, the parent company of Google, has lost the lawsuit filed against it by Epic Games, the developer of “Fortnite”. The US court ruled that Google’s practices are attempting to monopolize the Android app market through its “Play Store.”
The judicial decision comes after about a month of legal battles between the two companies. Ultimately, the ruling favored Epic Games, marking its first legal victory against official app store markets. Previously, the company lost a similar lawsuit against Apple two years ago.
The federal court acknowledged that Google’s app market practices on Android are “anti-competitive.” A judicial ruling is expected to resolve this, potentially forcing Google to allow app developers in the Play Store to use new payment tools independent of Google’s payment system. This could also open up new spaces for app marketing outside of the Google Store, enabling developers to avoid Google’s cut of app revenues.
Google has announced its intention to appeal the court’s decision, emphasizing that Android and “Google Play” provide users and developers with freedom of choice and openness compared to other platforms, according to Wilson White, Google’s Vice President of Public Policy and Government Affairs.
Tim Sweeney, the founder and CEO of Epic Games, celebrated the court ruling, stating on the Xbox platform that the trial confirmed his company’s stance against Apple, Google, and their app stores, as well as various stores on gaming platforms.
The Google trial lasted a full month, and the federal court is expected to announce its decisions regarding the regulation of the company’s practices by January 2024.
Sweeney told Bloomberg that Epic Games would focus on implementing measures to reform the Android app market in collaboration with the federal court. He pointed out that Google’s condemnation cannot be considered a victory if there are no real changes on the ground.
Google’s legal setback comes at a challenging time as the tech giant faces another high-profile lawsuit. The US Department of Justice accuses Google of monopolizing the search market on smart devices through its “Google Search” engine.
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