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The jury has unanimously decided that Google has a monopoly in the Android app distribution.
More than three years after Epic Games initiated the legal confrontation with Apple and Google, accusing their App Store and Google Play of being illegal monopolies, the developer behind Fortnite and Unreal Engine continues its crusade against app stores and, in an unexpected turn of events, has emerged victorious in the recent legal battle with Google.
The unanimous verdict from the jury of the United States District Court for the Northern District of California asserts that Google possesses monopoly power in the Android app distribution markets and in-app billing services markets, affirms that Google engaged in anticompetitive actions within these markets, and declares that Epic Games was harmed by that business practice. Additionally, the jury has determined that there exists an unlawful tie between Google's Google Play app store and its Google Play Billing payment services.
In their response to the jury's decision, Epic Games issued a statement calling the verdict "a win for all app developers and consumers around the world".
"It proves that Google’s app store practices are illegal and they abuse their monopoly to extract exorbitant fees, stifle competition, and reduce innovation," reads the announcement. "The evidence presented in this case demonstrates the urgent need for legislation and regulations that address Apple and Google strangleholds over smartphones, including with promising legislation in progress right now with the Digital Markets, Competition, and Consumer Bill in the UK and the Digital Markets Act in the EU."
Wilson White, Google's VP of Government Affairs and Public Policy, also addressed the decision, saying that the company plans to appeal the verdict.
"We plan to challenge the verdict. Android and Google Play provide more choice and openness than any other major mobile platform," reads White's statement (via The Verge). "The trial made clear that we compete fiercely with Apple and its App Store, as well as app stores on Android devices and gaming consoles. We will continue to defend the Android business model and remain deeply committed to our users, partners, and the broader Android ecosystem."
As of now, the implications of this victory for Epic Games, Google, and the future of Google Play remain uncertain. Both parties are set to confer with Judge James Donato in January to deliberate on potential remedies.
Earlier this year, Epic Games lost in a similar legal battle against Apple when a three-judge panel from the U.S. Court of Appeals had decided 2-to-1 that Apple's stringent management of its App Store hadn't contravened federal antitrust regulations, largely agreeing with a lower court's 2021 ruling, appealed by Apple. The fact that Epic succeeded against Google but not against Apple, however, has left some people questioning the earlier decision, considering that downloading third-party apps for Android devices is much easier than it is for iOS-powered ones.
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