Google found guilty of violating antitrust laws in Fortnite case

In December 2023, a U.S. Appellate Court upheld a jury verdict in the case of Epic Games vs. Google, a significant event in California where Epic Games alleged that Google had violated antitrust laws by preventing third-party downloads of its popular game, Fortnite. The court's ruling dismissed Google's argument that a similar case against Apple applied, stating the two lawsuits involved different commercial realities and legal theories. The U.S. District Court later issued a three-year injunction against Google. This injunction prohibits Google from providing exclusive benefits to developers and requires the company to allow users access to alternative app billing and distribution channels. It also mandates that Google distribute third-party apps on the Play Store, enhancing competition in the app market. Epic Games had initially launched Fortnite in 2018, quickly gaining a massive user base and prompting the company to make it available on mobile platforms. The conflict arose when Epic integrated code into Fortnite that offered users discounted in-app purchases when they downloaded the app directly from Epic instead of through Google Play. Both Apple and Google reacted by restricting Fortnite from their platforms, which led Epic to file lawsuits against both companies in 2020. The ruling has been lauded by Epic Games’ founder Tim Sweeney as a total victory, with former Federal Trade Commission Chair Lina Khan also celebrating it as an important win. As Google moves to appeal this ruling, the outcome of these antitrust cases could influence the legal landscape surrounding app distribution and market competition significantly.