According to the terms of an antitrust settlement with U.S. states and consumers disclosed in San Francisco federal court, Google has agreed to pay $700 million and allow more competition in the Play app store.
Google was accused of overcharging consumers through illegal restrictions on app distribution on Android devices and unnecessary fees for in-app transactions. He did not admit any wrongdoing.
According to the proposed settlement, the company will pay $630 million into a consumer settlement fund and $70 million into a fund to be used by states, but still requires final approval from a judge.
According to the proposed settlement, affected consumers will receive at least $2 and may receive additional payments based on their spend on Google Play from August 16, 2016 to September 30, 2023. .
All 50 states participated in the settlement, including the District of Columbia, Puerto Rico, and the Virgin Islands.
Utah, the lead plaintiff, and other states announced the settlement in September, but its terms were kept secret ahead of a related lawsuit between Google and Fortnite maker Epic Games. A federal jury in California agreed with Epic last week, finding that parts of Google’s app business are anticompetitive.
Wilson White, Google’s vice president of government affairs and public policy, said the settlement “builds on Android’s choice and flexibility, maintains strong security protections, and preserves Google’s ability to compete with other companies.” ”. [operating system] Invest in the Android ecosystem for manufacturers and users and developers. ”
The company said it is expanding the ability of app and game developers to offer consumers alternative billing options for in-app purchases next to Play’s billing system. Google said it has been piloting “elective billing” in the United States for more than a year.
As part of the settlement, Google said it would make it easier for users to download apps directly from developers.
Lawyers for each state said in a court filing that the settlement terms “provide important, meaningful and long-lasting relief to consumers across the United States.”
“No U.S. antitrust enforcement agency has yet been able to secure such extensive relief from Google or another major digital platform,” state attorneys said in a statement.
Google also faces other lawsuits over its search and digital advertising practices.The company denies any wrongdoing in these incidents.