Technology

Epic Games Wins Antitrust Suit Against Google for Illegal Monopoly in App Store

Published December 12, 2023

In a landmark decision on Monday, the tech behemoth Google was handed a significant legal defeat when a jury found it guilty of maintaining an illegal monopoly through its Google Play Store, following a lawsuit brought by well-known video game company Epic Games. The verdict concluded that Google's practices within its app store are anti-competitive and that the company imposes unfairly high charges on app developers.

Epic Games, the creator of the widely-played game Fortnite, accused Google of suppressing competition and mandating app developers to utilize its proprietary billing system. This, according to Epic, effectively forced app makers to engage with both Google's app store and its payment services. The jury's ruling came after a trial that spanned more than a month, where they found in favor of Epic Games on all 11 counts of anticompetitive conduct.

Remediation and Reactions to the Verdict

U.S. District Judge James Donato will meet with representatives from Google and Epic Games in January to discuss potential remedies for the antitrust violations. These remedies could potentially impact the profits Google derives from its Play Store. However, Google has expressed its intent to fight back against the verdict. Wilson White, Google's Vice President of Government Affairs And Public Policy, issued a statement highlighting Google's commitment to the Android ecosystem, arguing that the platform provides greater choice than its competitors. He also emphasized Google's intentions to contest the jury's decision.

Epic Games and the Implications for the Tech Industry

Epic Games has hailed the jury's verdict as a triumph for app developers and consumers worldwide. In their view, the ruling validates their claim that Google has acted illegally, charging excessive fees and hindering innovation and competitiveness within the market. In addition to the Epic case, Google faces other legal challenges. The Department of Justice has a lawsuit alleging Google's monopoly over search and search advertising, and video platform Rumble has similarly filed an antitrust suit against the company.

Neither Google nor Epic Games responded immediately to requests for comment on the case outcome. The broader implications of this ruling could signify a significant shift in the digital marketplace, affecting how app stores operate and how tech giants engage with app developers. As regulatory scrutiny increases, it could lead to broader changes across the industry.

Google, Monopoly, Antitrust