Google and Samsung sued by Epic Games over alleged anti-competitive practices

Fortnite creator Epic Games has filed a new lawsuit against Google and Samsung, accusing the two tech giants of conspiring to protect Google’s Play Store from competition.

Fortnite games

The lawsuit, filed in U.S. federal court in California, focuses on a Samsung security feature called “Auto Blocker,” which Epic claims discourages users from downloading apps  from sources outside of the Play Store or Samsung’s Galaxy Store.

Epic Games, which relies heavily on device makers for growth in its gaming business, is targeting the two leaders in the smartphone business. In 2023, Samsung shipped 226.6 million smartphones strengthening its top position above iPhone maker Apple. The total size of the smartphone industry was 1.17 billion smartphones in 2023.

Google Android’s market share was over 70 percent of the smartphone operating system market. In some of the leading markets, Android’s market share was 85 percent. Korea-based Samsung is the largest smartphone brand powered by Android.

Epic Games has also produced an email exchange among Google employees talking about the tie-up between Google and Samsung.

In 2020, Google signed a Revenue Sharing Agreement with Samsung. Since the agreement, Samsung has not entered into exclusive deals with major game developers to launch on the Galaxy Store.

Epic argues that the Auto Blocker feature, which was introduced in late 2023 and became a default setting on Samsung devices in July, makes it harder for users to install apps from alternative sources. Epic says this move violates U.S. antitrust laws by reducing consumer choice and preventing competition, ultimately leading to higher app prices.

According to Epic’s CEO, Tim Sweeney, Google is misleading users into believing that apps from outside the Play Store are unsafe, even though Google itself has distributed Fortnite in the past.

Samsung, in response, plans to “vigorously contest” Epic’s claims, stating that its security features are designed to protect user privacy and security, and that users can disable Auto Blocker if they choose. Google has yet to respond to the lawsuit, Reuters news report said.

This legal move follows a 2023 U.S. verdict in favor of Epic, which ruled that Google would have to make it easier for users to obtain apps from sources other than the Play Store. Epic also intends to bring its competition concerns before regulators in the European Union, where Google’s business practices have long been under scrutiny.

The lawsuit is the latest chapter in Epic’s ongoing battle with Google and Apple over their app store policies. Epic had previously clashed with both companies over the 30 percent commission they charge on app store transactions. Following nearly four years of being banned, Fortnite was recently made available again on iPhones in the EU and on Android devices worldwide.

Epic’s latest legal challenge signals its continued effort to push for more open and competitive app ecosystems.

Baburajan Kizhakedath

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