Alphabet Inc.’s Google suffered a significant legal setback on 31 July when a three-judge panel of the Ninth U.S. Circuit Court of Appeals unanimously upheld an injunction requiring the company to overhaul its Android app-store business after losing an antitrust case brought by Fortnite maker Epic Games. The panel affirmed a December 2023 jury verdict that found Google illegally monopolised Android app distribution and in-app payments. It also left intact U.S. District Judge James Donato’s October 2024 order mandating that Google let users download rival app stores from within Google Play, permit competing billing systems, provide full Play catalog access to competitors and refrain from revenue-sharing deals that discourage alternative stores. The injunction will take effect in 14 days unless the court grants Google a stay; it is scheduled to run for three years once implemented. Circuit Judge M. Margaret McKeown wrote that the record was “replete with evidence that Google’s anticompetitive conduct entrenched its dominance.” Google said the decision “will significantly harm user safety, limit choice and undermine innovation” and asked the appeals court to keep the order on hold while it seeks further review from the full Ninth Circuit and potentially the U.S. Supreme Court. Epic Games hailed the ruling as a “total victory” and signalled plans to launch its own store on Google Play. The decision threatens a lucrative revenue stream for Google, which collects a 15%–30% commission on many in-app transactions, and adds to the company’s mounting antitrust challenges in search and advertising.
Competition is good. Glad to see @EpicGames winning this case. $GOOGL https://t.co/rG2SWMoh7H
Google Has Just Two Weeks To Begin Cracking Open Android, It Admits in Emergency Filing https://t.co/dSBPUUXDJc
Google urged the 9th Circuit to maintain a stay on an order mandating extensive changes to its Play app store, following a key legal defeat this week in a lawsuit filed by 'Fortnite' creator Epic Games. For more top news, subscribe: https://t.co/9HSJ5xQsef https://t.co/tHIqHCYxqf