Google pays $700 million fine
Google has recently agreed to pay $700 million to settle an antitrust case with US states and consumers over its app store practices. The settlement was reached in September, but the finer details were made public on Monday with the company adding that it will allow more competition in its Google Play app store. This comes just a week after Google lost a lawsuit to Epic Games over its app store practices.
The settlement is for a lawsuit that accused Google of engaging in anticompetitive behavior through its Google Play store, which is how most people download apps on Android devices. The settlement includes a $630 million payout for U.S. consumers who utilized a payment system within the Google Play Store that the state attorneys general alleged magnified prices for in-app purchases.
The settlement requires Google to make changes to its app store, such as allowing app and game developers to implement alternative billing options alongside Google Play’s billing system for U.S. users. This will give developers more options and could lead to lower prices for consumers.
In the preceding lawsuit, Epic Games accused Google of maintaining a monopoly over the distribution of apps on Android devices through its Play Store. The court ruled in favor of Epic Games, finding that Google had indeed engaged in anticompetitive practices. This settlement is a significant win for Epic Games and for consumers, as it will lead to more competition in the app market and potentially lower prices for apps and in-app purchases.
Overall, these developments are a major shake-up for the app market and could have far-reaching implications for the way apps are distributed and sold on Android devices. It remains to be seen how these changes will play out in the long term, but for now, it seems that the app market is becoming more competitive and that consumers and developers are the ones who stand to benefit.