Epic Games sues Google and Samsung for 'illegally conspiring to thwart competition in app distribution'



Epic Games, which operates the game sales platform 'Epic Games Store,' has announced that it has filed a lawsuit against Google and Samsung. Epic Games claims that Samsung's

Auto Blocker feature, introduced in October 2023, disables the installation of apps from sources other than the Google Play Store and Samsung Galaxy Store.

Filing Suit Against Google and Samsung for Illegal Colluding to Block Competition in App Distribution and Undermining the Epic v Google Jury Verdict - Epic Games
https://www.epicgames.com/site/en-US/news/filing-suit-against-google-and-samsung-for-illegally-colluding-to-block-competition-in-app-distribution-and-undermining-the-epic-v-google-jury-verdict



Epic is suing Google — again — and now Samsung, too - The Verge
https://www.theverge.com/policy/2024/9/30/24256395/epic-sues-google-samsung-antitrust-auto-blocker

Epic Games claims that Google and Samsung are illegally cooperating to stifle competition in the app distribution market, focusing in particular on Samsung's Auto Blocker feature. The Auto Blocker feature was jointly developed by Google and Samsung and introduced as an opt-in feature in October 2023 on One UI 6, a UI for the Galaxy series based on Android version 14.

When the Auto Blocker feature is turned on, if you try to install an app from a source other than the Google Play Store or Samsung Galaxy Store, you'll see a warning message saying 'Unknown Source' and you'll have to go through a fairly complicated extra process.



Samsung has set the Auto Blocker feature to on by default in the July 2024 update. Epic Games has taken issue with this, arguing that 'the Auto Blocker feature effectively makes the Google Play Store the only way to obtain apps on the Galaxy series, preventing other stores from competing fairly.'

Epic Games further alleges that Google has paid Samsung billions of dollars in the past to prevent the Samsung Galaxy Store from competing with the Google Play Store, including by planning to phase out the Samsung Galaxy Store and by circumventing exclusivity agreements between major game developers and the Samsung Galaxy Store, and provides evidence to support this claim.

Epic Games has argued that these actions by Google and Samsung harm app developers and consumers and undermine the efforts of regulators around the world, and has asked the court to prohibit Google and Samsung from engaging in anti-competitive behavior, force Samsung to disable Auto Blocker as a default, and allow fair competition.

Epic Games CEO Tim Sweeney said, 'Epic Games competes with the Google Play Store and the Samsung Galaxy Store, and offers 88% of developer sales as revenue. However, if 50% of users abandon the service, the revenue we can offer will drop from 88% to 44%, taking into account the lost number of users and revenue. If such unfavorable conditions are imposed, literally no store can compete with existing stores. To achieve true competition, all reputable stores and apps must be able to compete freely under a level playing field. This is the purpose of our lawsuit.'



Samsung did not confirm or deny the agreement with Google in response to an interview with the IT news site The Verge, but responded by saying that the Auto Blocker feature is 'on by default, but can be turned off in the initial setup wizard of your smartphone.' This was also stated on Samsung's official support page .

Samsung also said in a statement, 'Contrary to Epic Games' claims, Samsung actively promotes market competition, expands consumer choice, and conducts fair business. The Auto Blocker feature integrated into our devices is designed in accordance with Samsung's core principles of security, privacy, and user control, and we are committed to protecting our users' personal data. Users can disable the Auto Blocker feature at any time. We intend to firmly refute Epic Games' unfounded claims.'

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