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Antitrust Lawsuit Filed Against Google In US Over Collecting High Play Store Fees

July 16, 2021 by Samuel Roan Leave a Comment

Search engine giant Google is once again involved in an antitrust lawsuit. The company has been accused of abusing its market power. The lawsuit said that Google stifled its competitors. The lawsuit has been filed by a coalition of 37 attorney generals. They have alleged that Google forced developers and consumers to use its in-app payments. This granted the company a hefty cut, thus making profits. The lawsuit said that Google’s conduct was illegal. According to them, millions of people using Android turn only to Google for apps. People downloaded apps to their devices from the Play Store by paying fees. They argued that this affected millions of small businesses.

The lawsuit said that Google’s attempt to influence the users has affected the competition in the market. The company also indulged in illegal activities to ensure its user pool and developers don’t leave. It used misleading security warnings. These warnings were aimed at keeping developers and consumers within its walls and making profits. The lawsuit further said that Google acted unlawfully. It blocked companies from competing with its Play Store. Play Store is a distribution platform developed and operated by Google. It distributed apps for Android devices. The company collects fees from the developers for allowing them to sell their apps. Besides, it also charges consumers.

The lawsuit said that Google made earnings by locking app developers and consumers. Google compelled them to use its own payment system for the services. It charged that Google collected high fees by making them use its payment gateway. In December last year, Google faced a separate antitrust suit. The lawsuit was filed by 35 states. The lawsuit said that Google used its power for a monopoly on the online search business. Before that, Google was summoned in a case of antitrust violations filed by 11 states. The lawsuit accused Google of wrongly weaponizing its dominance in the online search and advertising market. It alleged that the company killed the competition in the market and caused harm to consumers.

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