(Bloomberg) — Alphabet Inc. must lift restrictions that prevent developers from launching rival marketplaces to compete with its Google Play Store, a ruling has ruled that Alphabet Inc. must lift restrictions that prevent developers from launching rival marketplaces to compete with its Google Play Store, undermining the lucrative Android app market. This has overturned the dominance of search giants.
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A federal judge in San Francisco on Monday handed Epic a major victory in a long-running antitrust lawsuit against the tech giant’s app store, which generated $14.66 billion in revenue in 2020. This ruling caused Alphabet’s stock price to fall further. The 2%-plus figure comes after the maker of the popular video game Fortnite persuaded a jury that Google was abusing its power in the Android app market with its Google Play Store policies.
Epic had argued that Google Play’s rules and fees stifle competition and inhibit app marketplaces launched by developers. The judge’s decision is likely to accelerate the weakening of app store regulations by tech giants Google and Apple, which have come under fire from regulators and lawmakers around the world.
U.S. District Judge James Donato will ban Google from paying developers for exclusive use of its app store or telling customers how to download apps directly for the next three years. An injunction was issued, which took effect on November 1st. Additionally, Google cannot force developers to use billing features during that period.
The company also needs to give rival app stores access to its catalog for the next three years to help develop them.
Donato said Google could take “reasonable steps” to ensure the security of its platform and asked the parties to recommend three people to a committee that would consider the technical aspects of these requirements. commanded. Developers who feel Google’s security measures are too strict can challenge them, with the tech giant responsible for proving they are necessary.
Representatives for Alphabet and Epic did not respond to requests for comment.
In August, Google lost an antitrust lawsuit in which the U.S. Department of Justice accused it of illegally monopolizing the online search and advertising markets.
–With assistance from Rachel Graf.
(Updates with details of court order)
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