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Google and Epic Games have jointly announced that they have reached a settlement in their long-running antitrust battle over the Google Play Store. The two companies have submitted a revised proposal to the U.S. District Court in San Francisco, requesting approval from Judge James Donato. If granted, the decision will formally bring an end to the lawsuit—initiated in 2020—centered on alleged monopolistic practices in Android app distribution and payment systems.
Sameer Samat, President of the Android Ecosystem at Google, stated on X, “Together with Epic Games we have filed a proposed set of changes to Android and Google Play that focus on expanding developer choice and flexibility, lowering fees, and encouraging more competition all while keeping users safe. If approved, this would resolve our litigations. We look forward to discussing further with the Judge on Thursday.”
Epic Games CEO Tim Sweeney likewise praised the proposal, calling it “an awesome proposal, subject to court approval, to open up Android in the US Epic v Google case and settle our disputes. It genuinely doubles down on Android’s original vision as an open platform to streamline competing store installs globally, reduce service fees for developers on Google Play, and enable third-party in-app and web payments.”
The settlement follows a series of legal setbacks for Google. In late 2023, the court ruled in favor of Epic Games; Google’s appeal was later dismissed in July, and its request for a stay of the injunction was denied by the Supreme Court. As a result, Google must comply with the original court order, which includes the following provisions:
- A ban on paying manufacturers or app developers to ensure that their apps are distributed exclusively through the Google Play Store.
- A requirement to allow third-party app stores to be installed on Android devices.
- A prohibition on forcing developers to use Google’s proprietary payment system.
The newly filed settlement proposal builds upon these rulings, refining and clarifying implementation details:
- Alternative Payments: Developers will be permitted to “seamlessly use alternative payment mechanisms,” including in-app and external link payments, provided they meet Google’s security standards.
- Fee Cap: The agreement establishes clear upper limits on Google’s revenue share from alternative payment methods—set at 9% or 20%, depending on the transaction type.
- Scope of Fee Restrictions: The fee cap on third-party in-app payment systems applies only to newly installed apps.
- Third-Party Store Standards: Both parties have agreed upon “reasonable and neutral” requirements for third-party app stores, making it easier for compliant stores to reach users globally and compete with Google Play.
Samat confirmed that the two sides will meet with Judge Donato on November 6. If approved, the settlement will resolve all ongoing litigation between the companies. The agreement marks a significant concession by Google, reflecting the growing regulatory and judicial pressure it faces as it seeks to preserve its dominance within the Android ecosystem.
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