Alphabet’s Google said on Tuesday it had reached a comprehensive settlement with Epic Games, maker of the “Fortnite” video game, in a U.S. court, agreeing to Android and app store reforms aimed at lowering fees, promoting competition and expanding choice for developers and consumers.
In a joint filing in federal court in San Francisco, the companies asked U.S. District Judge James Donato to consider a proposal to resolve Epic’s 2020 antitrust lawsuit, which accused Google of illegally monopolizing how users access apps and make in-app purchases on Android devices.
Google has denied any wrongdoing in the high-profile lawsuit.
The proposal required Donato’s approval. The judge, who oversaw a jury trial in 2023 that Epic won, issued a sweeping injunction last year calling for reforms to the Play Store that Google said went too far. Google said the changes could harm its competitive position and compromise user security.
Under the new proposal, Google will allow users to more easily download and install third-party app stores that comply with new security standards.
Developers can also direct users to alternative payment methods within the app or via external web links. Google said it will impose a capped service fee of 9% or 20% on transactions in Play-distributed apps that use alternative payment options.
Sameer Samat, president of Google’s Android ecosystem, said on Tuesday that the proposed changes maintain user security while increasing flexibility for developers and consumers. Samat said Google looks forward to discussing the resolution with Donato, who is expected to meet with attorneys involved in the case at a previously scheduled hearing on Thursday.
Epic Games CEO Tim Sweeney called Google’s proposal “fantastic” and said it “truly delivers on the original vision of Android as an open platform.”
Google unsuccessfully challenged Donato’s ban in a federal appeals court, which upheld the ban in a July ruling. The U.S. Supreme Court last month rejected Google’s request to temporarily freeze some of the ban.
Google and Epic filed court documents on Tuesday asking Donato to modify his ban while leaving many parts of it intact.
Google also faces other lawsuits from government, consumer and business plaintiffs challenging its search and advertising business practices. It denies violating state and federal laws in those cases.
© Thomson Reuters 2025
