Google has agreed to pay a fine of 700 million dollars as part of a settlement with Epic Games studio, the creator of the Fortnite game. The fine is to be paid mainly to Android system users. According to the arrangements, Google also has to facilitate downloading applications from outside the Google Play store.
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Google has committed to paying 700 million dollars to its customers in connection with allegations of illegal monopolistic activities. The agreement was announced in federal court in San Francisco in cooperation with fifty American states, the District of Columbia, Puerto Rico, and the Virgin Islands.
The conflict between Google and Epic Games regarding the exclusion of the Fortnite game from the Google store has been ongoing since 2020. The accusations against the giant concerned monopolistic actions involving the illegal restriction of app distribution on Android devices and the imposition of unjustified fees for transactions in apps.
The Californian federal jury agreed with Epic Games and confirmed Google's violation of competition rules in the area of applications. Lawyers of the states, who applied for settlements, argue that the terms of the agreement will bring significant and long-lasting relief to consumers across the country.
Karina Orzechowska
According to the terms of the agreement, Google will fund the settlement fund for customers with 630 million dollars. An additional 70 million dollars will go to all US states to cover court costs. Each qualifying customer will receive at least 2 dollars in compensation, and additional funds will be available based on expenditures in the Google Play store between August 16, 2016, and September 30, 2023. It is not yet certain whether refunds will also include users outside the US.
In addition, Google has committed to changing the rules, making it easier to download apps directly from their creators. The company will also not hinder transactions between creators and users using apps downloaded outside the Google Play store, provided both parties agree.
The amount of 700 million dollars, although huge, is just a fraction of the sum that Google could have paid if the case had not ended in a settlement. It is estimated that the company could have been charged a penalty of up to 10.5 billion dollars.
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