Epic Games CEO on Google Antitrust Settlement

Google and Epic Games Reach Antitrust Settlement

Tim Sweeney, CEO of Epic Games, has described Google’s proposed settlement in its antitrust case with his company as a “comprehensive solution.” He believes it demonstrably reinforces Android’s core principle of being an open platform for developers.

Settlement Details and Key Reforms

The two companies announced a settlement on Tuesday, outlining Android app store reforms. These changes include reduced fees and the promotion of increased competition within the Android ecosystem.

The proposed agreement, pending judicial approval, will permit Android application developers to direct users to alternative payment methods. This will be achievable both within their applications and through links to external websites.

Fee Structure Adjustments

Google’s fees for developers will be capped at either 9% or 20%. The specific rate will be determined by the nature of the transaction and the date the application was initially installed by the user.

Sameer Samat, president of the Android Ecosystem at Google, stated on X that the proposed modifications are designed to “expand developer choice and flexibility, lower fees, and encourage more competition all while keeping users safe.” Court approval would bring the antitrust litigation to a close.

Sweeney's Perspective and Comparison to Apple

Sweeney lauded the proposal as “awesome,” drawing a contrast with Apple’s approach. He contends that Apple is focused on “blocking all competing stores and leaving payments as the only vector for competition.”

Apple maintains that its policies are implemented to safeguard consumers and maintain the security of the App Store. However, the iPhone manufacturer recently reported record revenue for its Services division, which includes the App Store. Revenue in this segment increased by 15% to $28.75 billion in the most recent quarter.

Background of the Antitrust Lawsuit

Epic Games initiated legal action against both Google and Apple, alleging anti-competitive practices within their respective app store ecosystems. The core accusations centered on excessive control, inflated fees, and preferential treatment of their own in-app payment systems.

While Apple largely prevailed in its case with Epic, it was compelled to adjust its App Store rules to accommodate alternative payment options. Conversely, Google’s appeal was overturned in July, with a jury concluding that the search engine had suppressed competition and required modifications.

Epic Games Store on Google Play Store

Following the favorable ruling, Sweeney announced plans to launch the Epic Games Store for Android on the Google Play Store.

This article was updated following publication to reflect the detail that fees are also dependent on the app installation date, as outlined in the official filing.