According to a court filing, Google has reached a provisional settlement in a class action lawsuit that claimed its US Play Store violated federal antitrust rules by overcharging customers.
This news comes as CES 2023, an annual consumer electronics trade show, takes place in Las Vegas, Nevada, US. The photo shows a view of the Google logo on a makeshift home during the event.
The settlement’s specific details were not made public.
The plaintiffs in this case, comprising over 30 US states and 21 million consumers, argued that the absence of Google’s alleged monopoly would result in reduced app spending and increased consumer choice.
Those involved in the settlement, including attorneys representing the leading group of states headed by Utah’s attorney general, have requested the cancellation of a hearing set for November 6th.
Google, who has denied any wrongdoing, chose not to provide a comment regarding the proposed settlement. The lawyers representing the consumer plaintiffs also declined to comment on the proposed settlement. However, there has been no immediate response from the lawyers representing the plaintiffs, including the state and the District of Columbia, in regards to the comment request.
It is important to note that the settlement is still pending court approval.
Lawsuits accusing Google of employing unlawful strategies to establish a monopoly in the sale of Android apps and in-app goods, resulting in substantial profit margins for its Play Store, are surfacing.
These legal actions contend that Google unlawfully required specific apps to utilize its payment tools and should be held accountable for a portion of digital goods sales, potentially up to 30%.
According to a post on social media platform X (previously known as Twitter), Tim Sweeney, the founder and CEO of Epic Games, stated that his company is not involved in the proposed Google Play agreement.
Sweeney mentioned that if Google eliminates its monopoly on payments and refrains from implementing a “Google tax” on transactions made by third-party entities, Epic Games would be open to settling and establishing a friendly relationship with Google in its new phase. However, he also asserted that Epic Games will continue to persevere and fight for its cause.
Match Group (MTCH.O) has made a statement regarding the Google Play Store Antitrust Litigation in the US District Court, Northern District of California, No. 21-md-02981.
However, a spokesperson for Match declined to provide further comment. The report was contributed by Anirudh Saligram and Mike Scarsella in Bengaluru, with additional reporting by Kanjik Ghosh.
The editing was done by Jamie Freed and Edwina Gibbs.
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