Wednesday, December 18, 2024

Epic Games Suing Google and Samsung Over App Store Competition | PYMNTS.com

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Epic Games is accusing Samsung and Google of a scheme to block their competition.

The maker of the popular Fortnite video game said Monday (Sept. 30) it will sue the companies in federal court. The suit will contend that a Samsung mobile security feature known as Auto Blocker was designed to steer users away from downloading apps from places other than Google or Samsung.

This behavior, Epic alleges, violates antitrust law by hindering consumer choice and preventing competition.

“It’s about unfair competition by misleading users into thinking competitors’ products are inferior to the company’s products themselves,” Epic CEO Tim Sweeney told reporters, per Reuters.

“Google is pretending to keep the user safe saying you’re not allowed to install apps from unknown sources. Well, Google knows what Fortnite is as they have distributed it in the past.”

A spokesperson for Samsung told Reuters the company would “vigorously contest Epic Game’s baseless claims.”

PYMNTS has contacted Google for comment but has not yet gotten a reply.

According to the Reuters report, Epic argues that the Auto Blocker was designed to lessen the impact of a court victory Epic had won against Google last year, which is expected to force the tech giant to make it easier to get apps from other sources.

Epic says it also plans to bring its concerns about competition to regulators in Europe, where Google has been the subject of long-time scrutiny.

This isn’t the first time Epic has taken Google to court, having battled that company and Apple over their policy of charging commissions of up to 30% on app store payments.

Last month, Epic Games launched its own app store in the Europe Union, taking advantage of the bloc’s Digital Markets Act. This legislation requires Apple to give other companies, rivals included, expanded access to their user base, and to accept different app stores.

“The European developments may not presage what happens in the United States, or wholesale change to app store policies,” PYMNTS wrote. “But the company has let app makers add payment buttons that draw them to other sites in order to input their payment information.”

And as has been covered here, the company is now letting apps and developers use its contactless NFC technology to allow for in-store payments.

“Bit by bit the mobile commerce, gaming, app developer and commission structures are changing,” PYMNTS wrote.

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