Epic Games, the developer of the popular game Fortnite, has won a major victory in its legal battle against Google. The jury found that Google’s practices in its app store and in-app pricing services were illegal and harmed Epic.
The Epic vs. Google case had been ongoing for three years, and the jury’s verdict was an important milestone. The jury found that Google had monopoly power and engaged in anticompetitive behavior in the Android app distribution markets and in-app pricing services.
Google’s anticompetitive practices
The jury found that Google’s distribution agreement and Project Hug agreements with game developers and OEMs were all anti-competitive. The jury also found an unlawful link between Google’s Google Play app store and Google Play Billing payment services.
Epic Games’s victory
Epic Games celebrated the victory and stated that this was a win for all app developers and consumers worldwide. The company believes that Google’s practices are illegal, inhibit competition and reduce innovation.
Google’s response
Google announced that it plans to appeal the judgment. Wilson White, the company’s vice president of business and public policy, said the case makes it clear that Google competes fiercely with Apple and its App Store and app stores on Android devices and game consoles.
Solutions to be decided
Although Epic won the case, it is unclear what sanctions the court will impose on Google. Epic never sued for monetary damages; instead, it wants the court to tell Google that every app developer can offer their own app stores and billing systems on Android. The appropriate remedies will be decided by Judge James Donato, who will meet with both sides in the second week of January to discuss possible solutions.
Judge Donato has already indicated that he will not grant Epic’s additional request for an anti-infringement provision. He also said he did not intend to decide what percentage Google should charge for its products.
Epic’s potential gains
Epic Games CEO Tim Sweeney has suggested that Epic stands to make hundreds of millions or even billions of dollars if it does not have to pay Google’s fee. Although Epic did not sue for damages, the company could reap significant financial benefits from the court’s decision.
A historic victory
Epic’s victory is particularly significant because the company largely lost its battle against Apple two years ago. The difference in the outcome of the two cases is attributed to secret revenue-sharing agreements between Google, smartphone manufacturers, and major game developers, which Google believes are designed to keep rival app stores down.
The tech industry has closely watched the Epic v. Google case, and the outcome is expected to have significant implications for the future of app distribution and billing practices. The case has also highlighted the growing tensions between tech giants such as Google and Apple and increased scrutiny from regulators and lawmakers.
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