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WASHINGTON (Reuters) – A group of state attorneys general may file a lawsuit against Alphabet Inc (GOOGL.O) Google as early as next week, accusing the search and advertising giant of violating antitrust law in operating its mobile app store. According to three sources familiar with the matter.
The expected lawsuit follows complaints from app developers about Google’s management of its Play Store for Android devices, according to a source. The sources said that the lawsuit has been ongoing since last year and has already been postponed, but it appears that it is close again.
He is leading the investigation by the state attorneys general for Utah, Tennessee, North Carolina and New York. It is unclear how many countries will participate.
Two sources said the case is likely to go to federal court in Northern California, where related cases are being heard. These include the lawsuit that video game company Epic Games Inc filed against Google last year, accusing it of having uncompetitive app store rules. He is expected to go to trial in 2022.
There are also two proposed Play Store lawsuits before the same judge. One source said that if states want to participate in testimony and other pre-trial activities, they will have to file a file fairly soon.
Apple Inc (AAPL.O) and Epic are awaiting verdict in a similar lawsuit in California after a trial that ended last month.
A Google spokesperson defended their App Store as open.
“Android is the only major operating system that allows people to download apps from multiple app stores. In fact, most Android devices ship with two or more app stores pre-installed. They can also install additional app stores or apps directly from their browser if they choose,” the spokesperson said. “.
Google was originally seen as being more open in how it manages its App Store than Apple, but recently it has tightened the rules and increased enforcement of those rules.
The lawsuit is expected to center on Google’s claim that some apps use the company’s payment tools to sell subscriptions and content and pay up to 30% of sales to Google, according to two sources.
App makers such as music streaming service Spotify Technology SA (SPOT.N) and dating services giant Match Group (MTCH.O), which owns the Tinder app, have long accused Google and Apple of opposing competition in demanding mandatory revenue sharing.
This latest lawsuit is being planned at a time when there is an unusually fierce debate about whether federal antitrust enforcement is too lax. Several people, including Senator Amy Klobuchar who chairs the Senate Judiciary Committee’s Antitrust Committee, have lobbied for tougher measures.
Google is already facing a federal lawsuit brought by the Department of Justice last year and related antitrust cases brought by two separate groups of attorneys general. One leads Texas and focuses on advertising while the other targets Google’s alleged efforts to expand its search dominance into new markets, such as voice assistants.
(Additional reporting by Diane Bartz, Dave Barish, and Karen Freifeld.) Editing by Jonathan Webber and Lisa Shumaker
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