Epic Games and Google Antitrust Trial Commences Today

The highly anticipated jury trial between Epic Games and Google, focusing on antitrust allegations regarding Google's payment system and rules, is set to begin today. The dispute initially arose in 2020 when Epic Games introduced an update to Fortnite, allowing players to purchase virtual currency, V-Bucks, directly, thereby bypassing Google's 30% commission on in-game transactions. As a result, Google removed Fortnite from the Google Play store, prompting Epic to file an antitrust lawsuit, which was later countered by Google with a breach of contract lawsuit. Epic argues that Google's requirement for developers to use its payment system is anti-competitive, emphasizing that while Android users can install apps outside of the Google Play store, the store's dominance makes it financially unviable to do so. The trial, as reported by Seeking Alpha, will feature testimony from key figures, including Sundar Pichai, CEO of Google's parent company Alphabet, and Epic CEO Tim Sweeney. Google's VP of government affairs and public policy has stated that Epic's claims are baseless, citing Android's ability to allow developers to distribute apps through multiple stores or directly to users via the web. Epic is also engaged in a similar legal battle with Apple, arguing that the closed iOS ecosystem restricts developers' ability to distribute apps without using the App Store. Although Epic secured a partial victory in the 2021 trial against Apple, with the judge ruling that Apple must cease its anti-steering practices, the case is currently under appeal, with no changes made to iOS or its payment system. Google has requested that its dispute with Epic be treated separately from the Apple case. Additionally, Epic is pursuing legal action against Google in the UK and Australia.