Google, Samsung Sued By Fortnite Maker Epic Games Over App Store Duopoly

• Epic Games has filed a lawsuit against Google and Samsung, alleging illegal collusion to stifle competition.
• The lawsuit targets Samsung’s Auto Blocker feature, which Epic claims obstructs its own app store.
• Samsung and Google have dismissed the lawsuit, defending their commitment to user safety and security.
• The outcome of this lawsuit could set a precedent for how tech giants manage their app stores and treat third-party developers.

In a significant development in the tech world, Epic Games, the creator of the popular video game Fortnite, has filed a lawsuit against tech behemoths Google and Samsung. The lawsuit, announced by Epic Games CEO Tim Sweeney, accuses the two companies of illegal collusion to stifle competition on Samsung devices. The claim was filed in a federal court in California, the same jurisdiction where Epic Games had previously won a legal battle against Google in 2023.

Sweeney has been vocal about his company’s commitment to ensuring fair competition in the tech industry. He stated, This is a major global fight, which is ultimately for the right of consumers to get all the benefits of competition and choose freely who they want to do business with. This statement underscores the company’s determination to challenge the dominance of Google and Apple in the smartphone app market.

The lawsuit primarily targets Samsung’s Auto Blocker feature, which Epic Games alleges was implemented in collaboration with Google. The feature, according to Epic, undermines a recent U.S. court decision against Google’s app store practices.

Epic’s Allegations and Samsung’s Response

In August, following the court decision, Epic launched its own app store, allowing users to bypass the Google-run store and offer content directly to smartphone users. However, Epic alleges that the Auto Blocker feature covertly obstructs the new app store by making it more difficult to install apps from sources other than the Google Play Store and Samsung Galaxy Store.

In July, Samsung changed the Auto Blocker from an opt-in feature to the default setting, forcing users to navigate a 21-step process to download apps from third-party stores or the web. Epic argues that this change is not only inconvenient for users but also restricts competition by making it harder for other app stores to gain traction.

In response to the lawsuit, Samsung stated that it plans to vigorously contest what it called Epic Games’s baseless claims. A spokesperson for the company added, The features integrated into our devices are designed in accordance with Samsung’s core principles of security, privacy, and user control, and we remain fully committed to safeguarding users’ personal data.

Google’s Stance and the Broader Implications

Google also dismissed the lawsuit as meritless, stating that Android device makers such as Samsung are free to take their own steps to keep their users safe and secure. However, Epic contends that the Auto Blocker feature solidifies Google Play Store’s monopoly and violates the jury verdict in Epic’s prior court victory against Google. In that case, a jury found Google’s app-store practices, including agreements with phone manufacturers, to be illegal.

Epic Games is now asking the court to prohibit what it calls anti-competitive conduct and mandate that Samsung remove Auto Blocker as the default setting on its devices. This lawsuit is part of Epic’s ongoing battles with major tech companies over app store policies and fees. The company had previously sued Apple in a case it mostly lost.

This lawsuit comes at a time of increasing scrutiny of big tech companies’ market power by regulators and lawmakers worldwide. New laws have been passed in Europe, Japan, and South Korea limiting the way these tech giants can do business.

Historically, this is not the first time tech companies have faced legal challenges over their business practices. In the late 1990s and early 2000s, Microsoft faced a series of antitrust lawsuits in the U.S. and Europe over its Windows operating system and Internet Explorer browser. More recently, in 2020, the U.S. Department of Justice filed an antitrust lawsuit against Google, accusing it of unlawfully maintaining monopolies in search and search advertising.

The outcome of Epic’s lawsuit against Google and Samsung could have far-reaching implications for the tech industry, potentially setting a precedent for how tech giants manage their app stores and treat third-party developers. As the legal battle unfolds, it will be closely watched by industry observers, regulators, and consumers worldwide. This case serves as a reminder of the ongoing tension between tech giants and smaller companies striving for a level playing field in the digital marketplace.