Epic Games and Google Reach Comprehensive Settlement in 5-Year-Long Battle Over Android App Store
In a significant development, Epic Games, the creator of hit online game Fortnite, has reached a comprehensive settlement with Google, potentially bringing an end to its five-year-old legal battle targeting the tech giant's Play Store for Android apps. The two companies announced their agreement in a joint filing in a San Francisco federal court.
The settlement terms remain under seal, pending approval from U.S. District Judge James Donato, but sources have revealed that it closely follows the judge's October 2024 ruling ordering Google to dismantle its digital barriers shielding the Play Store from competition. According to the proposal, Google will be required to distribute rival third-party app stores, enabling consumers to download and install them on their phones if they so desire.
This development marks a major victory for Epic Games, which had been waging a long-standing battle against Google's Android app store over the tech giant's exclusive payment processing systems. The company had filed lawsuits targeting both Google's Play Store and Apple's iPhone app store in 2020, seeking to bypass these commissions that charged between 15% and 30% on in-app transactions.
Under the proposed settlement, Epic Games is pushing for Google to limit these payments to between 9% and 20%, depending on the transaction. This change would give consumers more options and increase competition within the app store ecosystem.
In a statement, Epic Games CEO Tim Sweeney described the settlement as an "awesome proposal," which he believes will benefit both Android users and developers. A hearing is set for Thursday to finalize the agreement, bringing an end to this long-standing legal battle between two of the tech industry's biggest players.
In a significant development, Epic Games, the creator of hit online game Fortnite, has reached a comprehensive settlement with Google, potentially bringing an end to its five-year-old legal battle targeting the tech giant's Play Store for Android apps. The two companies announced their agreement in a joint filing in a San Francisco federal court.
The settlement terms remain under seal, pending approval from U.S. District Judge James Donato, but sources have revealed that it closely follows the judge's October 2024 ruling ordering Google to dismantle its digital barriers shielding the Play Store from competition. According to the proposal, Google will be required to distribute rival third-party app stores, enabling consumers to download and install them on their phones if they so desire.
This development marks a major victory for Epic Games, which had been waging a long-standing battle against Google's Android app store over the tech giant's exclusive payment processing systems. The company had filed lawsuits targeting both Google's Play Store and Apple's iPhone app store in 2020, seeking to bypass these commissions that charged between 15% and 30% on in-app transactions.
Under the proposed settlement, Epic Games is pushing for Google to limit these payments to between 9% and 20%, depending on the transaction. This change would give consumers more options and increase competition within the app store ecosystem.
In a statement, Epic Games CEO Tim Sweeney described the settlement as an "awesome proposal," which he believes will benefit both Android users and developers. A hearing is set for Thursday to finalize the agreement, bringing an end to this long-standing legal battle between two of the tech industry's biggest players.