Google Calling To Dismiss App Developers Antitrust Class Action Lawsuits
Epic Games, makers of Fortnite, and other app developers have recently complained about Google’s app store and in-app payment system, and Google has asked a California federal court to dismiss the complaint, mentioning the developers are hoping to use antitrust laws to make Google help the competition.
The tech giant also reported that Epic Games, Pure Sweat Basketball Inc., and Peekya App Services are trying to make Google’s Play Store to list rival app stores and to host apps that do not use Google’s in-app payment system.
Why Google Is Not Allowing the Competition To Participate
Google does not see the need to have other app stores get a free ride on the investments the tech giant has made. They may decline to distribute apps that allow rival billing systems for in-app purchases, as this would allow app developers to allow the distribution of apps for free and monetize on in-app content.
If the plaintiffs had their way and Google assisted competitors through a few changes in the Play Store, the developers would then reap the benefits of Google Play, while making sure Google cannot charge them anything for using the valuable distribution services that Google gives them.
In FTC vs Qualcomm, it supports Supreme Court rulings that started the bedrock antitrust principle, where an alleged monopolist has no duty under the antitrust laws to deal, whether at all or on different terms.
The developers could not set Google’s duty to deal with their competitors, so they mentioned the central tenet of antitrust claims have failed and were not actionable.
Epic Games already filed a class-action lawsuit against Google in August and mentioned that along with Apple, they used their monopoly powers for Android and iOS to charge a commission of 30% on app purchases and transactions inside the app.
The rate was significantly higher compared to other payment options according to Epic Games and Google along with Apple could only have pulled it off because of their monopolization of the app distribution streams for Android and IOS. This stopped developers from using the App Store or the Play Store from reaching out to consumers.
Pure Sweat Basketball followed suit, filing a proposed class action against Google as well as Peekya Services.
Editor’s note on the Google Antitrust Lawsuit:
This piece gives updates on the recent Google Antitrust Lawsuit. For more information, please don’t hesitate to contact us.Contact Us
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