The United States District Court for the Northern District of California announced last week that it will approve a $700 million settlement in a multistate antitrust lawsuit against Google, according to a May 5 statement. The case involved allegations that Google illegally dominated Android app distribution and in-app payments related to the Google Play Store.
The approval of this settlement marks the end of a five-year legal battle and is expected to provide relief for consumers across the country who were affected by Google’s practices. Most of the funds from the settlement will be distributed directly to individuals who made purchases on Google Play between August 2016 and September 2023. According to the announcement, most recipients will not need to fill out claim forms and will receive their payments through PayPal or Venmo. Those without access to these platforms can file claims through an alternative process.
Attorney General Dana Nessel said, “Google’s anticompetitive practices stifled competition at the expense of its customers. I am glad we are one step closer to having Google update its business practices and ensuring consumers automatically receive the restitution they are owed. My office remains committed to dismantling illegal monopolies and protecting the hard-earned money of Michiganders.”
As part of the agreement, Google must update its business operations. For at least five years, app developers may use alternative payment systems, inform customers about lower prices outside Google’s billing system, and list their apps on competing stores without fear of retaliation. Additionally, Android users will be able to download apps from sources outside of Google’s Play Store for at least seven years.
Attorney General Nessel joined this effort alongside attorneys general from 52 other states and territories representing both major political parties.