Home Tech Google and US Play Store Lawsuit Approach Tentative Settlement

Google and US Play Store Lawsuit Approach Tentative Settlement

by THE GULF TALK

Their contention is that Google has compelled certain apps to utilize the company’s payment tools, requiring them to allocate up to 30% of digital goods sales to Google. In the legal action initiated by over 30 U.S. states, representing 21 million consumers, the plaintiffs argued that if it weren’t for Google’s alleged monopoly, consumers might have spent less on apps and enjoyed more alternatives.

Parties involved in the settlement, which includes attorneys representing Utah’s attorney general leading the coalition of states, have requested the cancellation of a trial scheduled for November 6. Google, despite denying any wrongdoing, chose not to comment on the proposed settlement. Attorneys representing consumer plaintiffs also refrained from commenting on the proposed settlement, and a lawyer representing plaintiffs, including states and the District of Columbia, did not immediately respond to a comment request.

The court’s approval is necessary for the settlement to be finalized.

Google is confronting similar lawsuits accusing it of reaping substantial profit margins from its Play Store by utilizing unlawful methods to maintain monopolies in the sale of Android apps and in-app items. Their argument centers on Google’s alleged imposition of its payment tools and the exaction of up to 30% of digital goods sales.

Epic Games, which has raised such allegations, is not a participant in the proposed Google Play settlement, as stated by its founder and CEO, Tim Sweeney, in a post on the social media platform X, formerly known as Twitter. Sweeney remarked, “If Google ends its payment monopoly without imposing a Google Tax on third-party transactions, we’ll settle and become Google’s ally in their new era.” He added that if the settlement retains the ‘Google tax,’ the company will continue to challenge it.

Match Group has also filed a claim, but a spokesperson for Match declined to comment. The case is known as “In re Google Play Store Antitrust Litigation” and is pending in the U.S. District Court for the Northern District of California, No. 21-md-02981.

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