Epic Games, Inc. v. Google, LLC

Summary

In 2020, Epic Games filed a complaint against Google alleging that the company has violated Sections 1 and 2 of the Sherman Act, which prohibits the “monopoliz[ation of] any part of the trade or commerce among the several States, or with foreign nations.” The complaint argues that Google has unlawfully maintained monopoly power and unreasonably restrained trade in the Android App Distribution Market through anti-competitive acts, including:

• Conditioning the licensing of the Google Play Store, as well as other essential Google services and the Android trademark
• Mandating agreements to provide the Google Play Store with preferential treatment
• Imposing technical restrictions and obstacles on both equipment manufacturers and developers, which prevent the distribution of Android apps through means other than the Google Play Store
• Conditioning app developers’ ability to effectively advertise their apps to Android users on being listed in the Google Play Store
• Tying Google Play Store to Google Play Billings, its in-app payment processor

Updates

July 21, 2021. Epic filed an amended complaint with the court. Unredacted copy was released on August 9, 2021.

April 28, 2022. Epic filed a motion for a preliminary injunction to block Google from requiring its newly acquired service, Bandcamp, from using Google Play Billings or be removed from the Google Play store.

May 20, 2022. Google agreed not to “remove from, de-list, refuse to list on, or otherwise make unavailable the Bandcamp app on the Google Play Store (“Google Play”), nor will Google reject, unreasonably delay, or refuse to distribute updates of the Bandcamp app, on the basis that the Bandcamp app or updates to the app offer in-app purchases of digital goods or services through means other than Google Play’s billing system.”

November 22, 2022. Epic filed a second amended complaint with the court.

October 5, 2023. Trial briefs submitted by Google and Epic.

November 6, 2023. Jury trial begins in the case.

December 11, 2023. A jury found that Google violated Section 2 of the Sherman Act; willfully acquired or maintained monopoly power by engaging in anti-competitive conduct; entered into agreements that unreasonably restrained trade in violation of Section 1 of the Sherman Act and California State Law; and unlawfully tied the use of the Google Play Store to the use of Google Play Billing. The judge in the case will now decide on remedies for Epic.

October 7, 2024. A judge in the case granted a permanent injunction against Google. For a period of three years, ending on November 1, 2027, the injunction prohibits Google from entering into agreements that:

• Place exclusivity conditions on Android app developers to only be accessible through the Google Play Store
• Prevent app developers from launching an independent Android app platform or store that competes with the Google Play Store
• Require hardware manufacturers to preinstall Google Play Store on Android devices or limit a preinstall of a competing Android app distribution platform or store
• Prevent an Android app developer from communicating with users about the availability or pricing of an app outside of the Google Play Store

In addition, the injunction requires Google to create a process that permits competing Android app platforms and stores to access the Google Play Store's catalog of apps. Google will have up to eight months to implement the technology necessary to comply with the provision, and the injunction's three-year time period will start once the technology is functioning.

The judge issued an order providing the reasons for the permanent injunction.

October 10, 2024. Google appealed the permanent injunction to the Ninth Circuit Court of Appeals.

October 11, 2024. Google files an emergency administrative motion to partially stay the permanent injunction pending Google's appeal.

October 18, 2024. The hearing on Google's emergency motion will be held in open court at 10 am in the San Francisco courthouse.