Alphabet loses antitrust fight with Epic Games over Google Play

Google’s mobile app store maintains a monopoly in the Android app distribution and payments market, a federal jury in California decided, dealing a blow to the technology giant in a high-stakes antitrust battle with Epic Games Inc.

Google Play willfully wields monopoly power through Alphabet Inc. unit Google’s anticompetitive conduct, jurors found Monday after deliberating for less than four hours following a nearly monthlong trial in San Francisco. The ruling could potentially jeopardize billions of dollars of revenue generated by Google’s app store.

US District Judge James Donato, who oversaw the trial, will decide whether Google must open the door for payment and app distribution methods outside its own app store following the verdict that Google Play policies are unlawful.

Also Read: Small OTT apps in a fix over Google Play Store policy

Epic Games sued Google three years ago, claiming the tech company monopolized the Android app distribution market for more than a decade by striking side deals with rivals and using its resources to thwart competition.

In its defense, Google contended that its partnerships help phones that run on the Android operating system better compete against smartphone market rival Apple Inc.’s iPhone.

Epic, known for its popular Fortnite game, was the only stakeholder to challenge Alphabet at trial after the Mountain View, California-based company recently reached settlements with consumers, state attorneys general, and Match Group Inc., all of whom had targeted Google Play policies in complaints. Epic largely lost a similar antitrust challenge two years ago to Apple over its app store.

The case is In Re Google Play Store Antitrust Litigation, 21-md-02981, US District Court, Northern District of California (San Francisco).

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This story has been published from a wire agency feed without modifications to the text.

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Published: 12 Dec 2023, 07:32 AM IST