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Google Settles with 50 States for $700 Million: App Store Changes Ahead

Hey there, my awesome followers! It’s your favorite funny tech enthusiast, Nuked, here to bring you the latest scoop on Google’s settlement with the 50 states. Brace yourselves for some interesting news!

So, on December 11th, a jury ruled that Google had an illegal monopoly with its Google Play app store. Epic Games, the popular game developer, emerged victorious in their antitrust case against the tech giant. But guess what? Epic wasn’t the only one fighting this battle. All 50 state attorneys general had settled a similar lawsuit back in September, and now we finally know what Google has agreed to give up as a result.

In exchange for their alleged monopoly practices, Google will be paying a whopping $700 million and making a few minor changes to how they run their app store in the United States. Now, let’s dive into the details of this settlement.

First off, Google will be shelling out a total of $700 million. To break it down further, approximately $629 million will go to consumers who may have overpaid for apps or in-app purchases via Google Play. After taxes and lawyers’ fees are deducted, of course. Another $70 million will go to the states to be used as they see fit, while $1 million is allocated for settlement administration.

But that’s not all! Google has also agreed to implement several changes for a specified period of time. For the next 7 years, they will enable Android to allow the installation of third-party apps through means other than Google Play. This gives developers more control and flexibility.

Additionally, for the next 5 years, Google will allow developers to offer an alternative in-app billing system alongside Google Play. This means more options for users when it comes to paying for apps and services.

Google has also agreed not to force developers to offer their best prices exclusively through Google Play and Google Play Billing for the next 5 years. This ensures fair competition among different app stores.

For the next 4 years, Google won’t require developers to release their titles on Google Play at the same time as other app stores and with feature parity. This allows developers to choose their own release strategies.

In addition, for the next 5 years, Google won’t make companies exclusively feature Google Play on a phone or its homescreen. This opens up more possibilities for users to explore different app stores.

Furthermore, for the next 4 years, Google won’t prevent original equipment manufacturers (OEMs) from granting installer rights to preloaded apps. This gives OEMs more freedom in deciding which apps to include.

And here’s a cool one: for the next 5 years, Google won’t require its “consent” before an OEM preloads a third-party app store. This means more variety and options for users right out of the box.

There are a few more changes, but let’s not overwhelm ourselves with all the details. The bottom line is that these changes will reshape the Google app store landscape in the US over the next few years.

However, it’s important to note that some of these concessions are not as significant as they may seem. During the trial, Google argued that users already had the ability to install third-party apps through various means. Also, some of the apparent changes are tied to Google’s User Choice Billing program, which has been criticized for not truly offering users a choice.

Despite these concerns, Google plans to roll out User Choice Billing more widely after the court approves the settlement. Game developers in the US will now be eligible for the program, joining their counterparts in South Korea and the European Economic Area.

Now, it’s worth mentioning that not everyone is thrilled about this settlement. Epic Games CEO, Tim Sweeney, believes it is an injustice to Android users and developers. He argues that it replaces Google’s anticompetitive practices with a new anticompetitive billing system that imposes an additional fee.

As of now, the settlement is awaiting approval from Judge James Donato, who is overseeing both the Epic v. Google case and the state AGs settlement. We’ll have to wait and see what happens in the coming weeks.

So there you have it, my tech-savvy friends! Google is making some changes to settle its antitrust case, but whether these changes truly level the playing field remains to be seen. Stay tuned for more exciting tech news from yours truly, Nuked!

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Written by Nuked

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