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New: Settlement Tentative for Google Play Direct to Consumer Antitrust Lawsuit is made public -"

Sep 17, 2023

On the evening of sept. 6, a tentative agreement was reached in the lawsuit brought by 37 U.S. states against Google's Google.

The most significant details about the situation and what this will mean for businesses that sell online services through Google's U.S. Play Store.

   What is the Google antitrust lawsuit?  

In Utah In Utah. Google, 37 attorneys general claim that Google has been using anti-competitive, unlawful or unjust methods which hinder competition and drive up prices and restrict the choices available, all of which can affect the consumers buying games or other goods from the Google Play store.

The suit was brought by Utah Attorney General Sean D. Reyes, the suit focuses on "exclusionary measures relating to Google Play Store for Android," with actions such as shutting out the other channels of distribution for apps in addition to requiring consumers to utilize Google Billing (with up to 30% commissions to Google).

The suit was filed by AGs located all over New York, North Carolina as well as Tennessee The 37 AGs consist of 21 million people which are affected by the lawsuit.

 What has happened within the Google antitrust lawsuit?

The settlement was announced. However, the specifics aren't publicly available. The court is required to accept the settlement. But, some of the people who took part in the settlement (including the Utah's AG) want the Nov. 6 trial to be postponed.

Google has claimed that it is not guilty but it has not yet made a statement on this development.

There is no date for when information can be released, but since it is a class action lawsuit The details will be revealed once the case is fully closed.

What does it mean for app developers and game creators in the US as well as in other countries?

If the conditions of the settlement allow for an exemption from the current Google Play Store restrictions and the need to utilize Google Billing This might prove to be an important gain for game developers and apps who wish to expand the ways they market their app through the use of less expensive direct-to-consumer alternatives comparable to .

In the statement, which was made available on Utah Attorney General Sean D. Reyes' website. according to a statement on the website of Utah Attorney General Sean D. Reyes, 30% commission "is significantly greater than the amount customers could be charged for a alternative to Google in place of Google." The lawsuit claims Google didn't keep its pledge it made to keep Android "open free source" so as to ensure that device manufacturers as well also app developers are able to create applications in a way which is not subject to any limitations.

The implications are not fully understood until specifics of the settlement are revealed.

What is it about Apple?

You may be aware of Epic Games' case against Apple in relation to similar concerns. In the wake of when Epic announced the game's Fortnite players to make use of their own payment system, offering discounts to its players and other players, both Apple as well as Google removed Fortnite on their website for applications. Epic was later sued Apple as well as Google in separate instances.

In April of this year, the 9th Circuit U.S. Court of Appeals decided in the Apple appeal. The court had a mixed outcome. The court sided with Apple and affirmed the Apple App Store does not violate Federal Antitrust Laws. But they did support a lower court's ruling for Epic and argued the limitation of Apple's App Store to allow app developers to send users to other payment options violated the California's Unfair Competition Law.

Epic requested for be heard by the U.S. Supreme court to allow the injunction to become effective and to oblige Apple to modify its App Store's practices, even though Apple is still deciding whether to appeal the ruling. But, on August 1, the SCOTUS rejected Epic's request and suggested that changes might not be made until appeals are settled.

Epic doesn't have a stake in the Utah case v. Google case, as they're on its own court battle (with Match Group) against Google. However, Epic's chief executive Tim Sweeney posted on social media on social media that "If Google is ending its payments monopoly and not imposing on third-party transactions the Google Tax on third-party transactions then we'll agree to resolve and be Google's ally in their new world."

Could it be beneficial to game developers through direct-to-consumer purchase and subscriptions?

In addition, we offer an online platform which includes our JavaScript Store Builder Library for you to create the fastest integration for your game or application.

   More Info  

The Utah Attorney General's website contains other resources on this issue.

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