A U.S. federal judge has ruled that Google must allow rival Android apps in its Play Store for the next three years. Judge James Donato found that Google's Play Store policies violated U.S. antitrust laws, as its activities stifled competition in the Android app market.

Epic Games’ lawsuit 

This ruling follows an antitrust battle between Google and Epic Games, the maker of Fortnite. In 2020, Epic Games filed a lawsuit against Google, where they argued that the company abused its power in the Android app market. The company claimed that Google paid hardware and Android phone manufacturers to prevent them from creating rival app stores.

In December last year, a jury found that Google’s Play Store violated U.S. antitrust laws, convincing the court that Google’s rules and fees prevented competition. 

The ruling against Google

Starting next month, Google will be required to make several changes to its app store policies. 

Allowing competing apps  

Google must allow Android apps developed by competing tech companies to be listed and downloaded from the Google Play Store for three years. 

Google must also enable third-party app stores to be available on Google Play Store. It must allow Android users to download apps from rival stores, including the Epic Games Store, directly through the Google Play Store. 

Alternative payment options

The company can no longer mandate developers to use Google Pay Billing. Developers can offer other payment methods that don’t give Google a cut. They will also be able to link to alternative installation options in their apps and inform customers about different purchasing methods.

Transparency for users 

Google will not prevent developers from informing users about cheaper options available. They can direct customers to alternative apps. However, Google is allowed to charge a fee to ensure user safety and security with apps downloaded through its platform.

Google plans to appeal the court’s decision

Google has announced plans to appeal the ruling. The company argued that the decision overlooks the competition it faces from Apple and raises potential security concerns. Lee-Anne Mulholland, Google’s VP of Regulatory Affairs, stated that Android is an open platform, giving developers various options for app distribution.

Google also said that while the changes might satisfy Epic Games, they could lead to unintended negative consequences for American consumers, developers, and device makers.

However, Epic Games and Google will set up a committee made up of three people. This committee will be responsible for reviewing and addressing any technical issues that arise as Google works to comply with the court's ruling.

Google’s other antitrust battles

This latest ruling adds to a series of legal challenges Google has faced regarding competition. In August, another U.S. District Judge ruled that Google maintains an illegal monopoly in online search, with possible remedies including a breakup of Google's Chrome browser and Android system. 

Google is also dealing with a lawsuit filed by Yelp accusing it of unfair business activities.