Google Dismisses 30% Market Fee as Monopoly Charge in Ongoing Epic Games Trial

The highly publicized Epic vs Google trial commenced with opening statements, where Google swiftly defended its 30% transaction fee for apps on the Google Play store. According to Google attorney Glenn Pomerantz, this fee is a standard market charge, comparable to fees imposed by other platforms such as Nintendo, Xbox, and Steam. Pomerantz emphasized that the Google Play store and Android ecosystem provide developers with more value than payment processing services. Epic Games Store head Steve Allison countered that the 30% fee is not an industry standard, citing his experience with Telltale Games and the development of the Epic Games Store's revenue share model. Allison noted that Epic's introduction of an 88/12 revenue split prompted other platforms to reassess their revenue shares, with Valve, the Windows Store, and Discord revising their models. The trial also explored the impact of the 30% fee on developers, with Down Dog CEO Benjamin Simon testifying that Google's policies led to a 28% decline in users paying for his app. Furthermore, it was revealed that the Epic Games Store remains unprofitable, with projected profitability expected in 2024. The antitrust trial centers on Epic's claims that Google's practices, including the 30% fee and anti-steering policies, are anti-competitive. The case began after Google removed Fortnite from the Play store due to Epic's implementation of direct payments, prompting Epic to file a lawsuit and Google to countersue for breach of contract.