Earlier this week, Google came to a settlement in its five-year lawsuit with Epic Games, creator of the popular video game, Fortnite.
Epic Games initially filed a lawsuit in 2020 against Google, saying that Google was violating antitrust laws with how it managed its app store, Google Play. Google takes a 30% cut of revenue for all purchases made through the Google Play Store, but Epic Games believed it could operate a similar storefront with a 12% revenue share. Epic Games then started allowing Fortnite players to buy in-game currency directly through its app, which caused the Android and iOS versions of Fortnite to be removed from their respective storefronts for violating the terms of use.
As part of the settlement, Google has proposed a number of changes to the Play Store, Reuters reported, that will make it easier for Android users to download and install third-party app stores.
One of the changes is that Android developers will be able to offer users alternative payment methods in their apps or through external web links. Google will implement a capped service fee of 9% or 20% on transactions in apps distributed through the Play Store that use alternative payment options.
Sameer Samat, president of the Android Ecosystem at Google, said that the changes will expand developer choice and flexibility, lower fees, and encourage competition, while ensuring user safety.
James Sweeney, CEO of Epic Games, responded saying he was in favor of the changes and that it “doubles down on Android’s original vision as an open platform to streamline competing store installs globally, reduce service fees for developers on Google Play, and enable third-party in-app and web payments.”
According to Reuters, this proposal still needs to be approved by US District Judge James Donato, and he is meeting with the case’s lawyers today to discuss and make a decision.
