The New Epic Games Lawsuit: A Fight for Fairness in Mobile App Stores

Epic Games, the creator of Fortnite, has launched a new legal battle against Google and Samsung, accusing them of unfair practices in the mobile app marketplace. This lawsuit is part of Epic’s ongoing mission to challenge tech giants over how apps are distributed and how in-app purchases are handled, particularly in Google’s Play Store and Samsung’s Galaxy Store.

What’s the Dispute About?

The conflict started in 2020 when Epic allowed Fortnite players to buy items directly in the game, bypassing the usual 30% fee that Apple and Google charge for in-app purchases. Both companies quickly removed Fortnite from their app stores, sparking Epic’s legal fight. Initially focused on Apple, the lawsuit has since expanded to include Google and now Samsung.

Even though Android devices, powered by Google, are supposed to offer an open ecosystem for app installations, Epic argues that Google’s openness is misleading. They claim Google made secret deals with Samsung to limit competition and maintain control over the Android app market.

What Epic is Claiming

Epic’s lawsuit accuses Google and Samsung of working together to keep their dominance over the mobile app market. According to Epic, Google paid Samsung to promote the Galaxy Store as a competitor to the Play Store, but not enough to threaten Google’s hold on app distribution.

While Android users can technically install apps from outside the Play Store (a process called sideloading), Epic argues that Google discourages this by placing warnings and restrictions, making users hesitant to try alternative app stores. As one of the largest phone manufacturers, Samsung has the power to promote its Galaxy Store, but Epic believes Google has influenced Samsung to keep its store from becoming a serious competitor.

Why This Case Matters

This lawsuit could have major effects on how apps are distributed and how much developers have to pay in fees. If Epic wins, it could lead to more competition in the mobile app market, lower fees for developers, and possibly cheaper apps or in-app purchases for users.

On a global level, regulators are already investigating companies like Apple and Google for similar reasons. The outcome of this lawsuit could push authorities to implement stricter rules around how app stores operate, potentially reshaping the entire app ecosystem.

How Could This Affect You?

Epic wants to reduce or eliminate the 30% fee on in-app purchases, which could save users money when buying apps or digital goods. More competition among app stores could also give users more choices for downloading apps and making payments.

However, companies like Google and Apple argue that these fees are necessary to maintain the quality and security of their app stores. Without the fees, they claim, the stores might not be as reliable or safe.

What Happens Next?

This legal battle is expected to take several years. In the meantime, Epic continues to offer Fortnite through its website and other third-party app stores, bypassing Google’s Play Store. Samsung, as both a partner and competitor to Google, will need to carefully navigate its involvement in the lawsuit.

The outcome of this case could either lead to a more competitive app market with lower fees or reinforce the current system. Whatever happens, this lawsuit will have long-term effects on how we download and pay for apps in the future.

FAQs: The New Epic Games Lawsuit

1. What is Epic Games’ main issue with Google and Samsung?

Epic Games has sued Google and Samsung because they believe these companies are unfairly controlling the mobile app market. Epic claims that Google made deals with Samsung to ensure that Samsung’s Galaxy Store does not become a strong competitor to Google’s Play Store. This lawsuit is about making the app distribution more open and reducing the fees developers pay to app stores, which are currently up to 30% for in-app purchases.

2. How does this lawsuit affect ordinary app users?

If Epic Games wins the lawsuit, it could lead to lower prices for apps and in-app purchases because developers might not have to pay as high fees to app stores. This could make apps more affordable for users. Additionally, it could increase competition among app stores, giving users more options for downloading apps and potentially improving the quality of services as each store competes for users.

3. What are the potential outcomes of this lawsuit?

The lawsuit between Epic Games, Google, and Samsung could drag on for years, but its outcome could significantly impact the app store landscape. If Epic succeeds, we might see a decrease in app store fees and a rise in competition, which could benefit both developers and consumers. However, if the court sides with Google and Samsung, the current business models of app distribution and fee structures are likely to remain unchanged. The decision could also influence global regulatory approaches to tech giants and app store policies.

Sources The Guardian