DRC congratulates Gary Bornstein, Christine Varney, Timothy Cameron, Yonatan Even, Lauren Moskowitz, Justin Clarke, Michael Zaken, Brent Byars, and the entire Cravath trial team on its victory on behalf of Epic Games, Inc. ("Epic") in its antitrust lawsuit against Google. The win could reshape how the Google Play marketplace is allowed to operate and how apps make money on the Android operating system.
On December 11, 2023, following a monthlong trial in the U.S. District Court for the Northern District of California, the jury returned a verdict finding that Google maintained a monopoly in the Android app store market and engaged in anticompetitive conduct that harmed Epic, the creator of the wildly popular video game Fortnite. After deliberating for just over three hours, the jury sided with Epic on all 11 questions at issue. Specifically, the jury found that Google had "willfully acquired or maintained monopoly power by engaging in anticompetitive conduct" in the Android app distribution market and the Android market for in-app billing services for digital goods and services transactions. The jury also found that Google struck agreements with other game developers that unreasonably restrained trade in those markets and unlawfully tied use of the Play Store to Google's own billing system. Judge James Donato will decide the remedies needed to address Google's conduct next year.
Throughout the trial, Epic argued that Google obstructs competition for applications on Android devices and forces developers to pay hefty fees for in-app purchases on Google Play. It also argued that Google violated the Sherman Act by entering into agreements to dissuade major app developers from opening app stores that would compete with the Play Store. Google denied Epic's claims and argued that the relevant market was not limited to Android, but also included Apple's iOS and other platforms.
In a post on its company blog, Epic heralded the verdict as "a win for all app developers and consumers around the world. It proves that Google's app store practices are illegal and they abuse their monopoly to extract exorbitant fees, stifle competition and reduce innovation."
DRC conducted jury research in the case and assisted the trial team with jury selection.