Attorney General Ashley Moody sues Google for antitrust violations on the App Store on Android devices

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Moody: We will not allow Google to continue to monopolize an entire industry Attorney General Ashley Moody is suing Google for illegally and unfairly maintaining the monopoly on the app store for Android devices.

TALLAHASSEE, FLORIDA Attorney General Ashley Moody is suing Google for illegally and unfairly maintaining a monopoly on the app store for Android devices.

Google allegedly uses exclusionary conduct relating to the Google Play Store for Android mobile devices and Google Billing.

This antitrust lawsuit is the most recent lawsuit against the tech giant, claiming anticompetitive, illegal and unfair business practices.

The lawsuit accuses Google of using its domain to unfairly restrict competition with the Google Play Store, harming consumers by limiting choice and increasing app prices. Attorney General Moody joins a coalition of 37 attorneys general to sue.

Attorney General Ashley Moody said, “Over and over again we have seen Google use its power in the technology sector to unscrupulously exploit the market. Google’s manipulation of app distribution on Android devices forces consumers to use Google’s services to purchase apps, resulting in a 30% commission on in-app payments.

The tech giants’ monopoly on Android app purchases significantly prevents other in-app payment processors from entering the market, leaving consumers with no other options when trying to download apps. We will not allow Google to continue to monopolize an entire industry, eliminating competition and harming consumers.

According to the lawsuit, Google’s exclusionary conduct essentially excludes distribution channels for competing apps. Google also requires app developers, who offer apps through the Google Play Store, to use Google Billing as an intermediary. This provision ties a payment processing system to an app distribution channel and requires app consumers to pay Google’s commission on in-app purchases distributed through the Google Play Store. This commission goes up to 30% and is much higher than the commission consumers would pay if they were given the option to choose one of Google’s competitors instead.

The lawsuit alleges that Google works to discourage or prevent competition by violating federal and state antitrust laws. Google had previously promised app developers and device makers that it would keep Android open source, allowing developers to build compatible apps and distribute them without unnecessary restrictions. The lawsuit claims that Google has not kept that promise.

By promising to keep Android open, Google has successfully convinced OEM mobile device makers like Samsung and MNO mobile network operators like Verizon to adopt Android and give up competing with the Google Play Store. Once Google gained the critical mass of Android OS adoption, the tech giant moved to shut down the Android OS ecosystem and related Android app delivery market to any effective competition, requiring OEMs and MNOs to enter into various contractual restrictions. These restrictions discourage and limit OEMs and MNOs from competing, or fostering competition, in the relevant market.

To view the complaint submitted, click here.

This lawsuit is one of many actions taken against Google by the Florida Attorney Generals Office. In September 2019, Attorney General Moody and a bipartisan coalition of attorneys general launched an investigation into Google’s business practices.

Following the investigation in October 2020, Attorney General Moody, along with the U.S. Department of Justice and 10 other state attorneys general, filed a civil antitrust suit to prevent Google from illegally maintaining monopolies through anti-competitive practices. and excluding in the research and advertising markets.

In March, Attorney General Moody filed a lawsuit against Google for multiple violations of federal and state antitrust and consumer protection laws related to its role in the multi-billion dollar online advertising industry.

In addition to Attorney General Moody, Attorneys General from the following jurisdictions joined the suit: Alaska, Arkansas, Arizona, California, Colorado, Connecticut, Delaware, District of Columbia, Idaho, Indiana, Iowa, Kentucky, Maryland, Massachusetts, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Oklahoma, Oregon, Rhode Island, South Dakota, Tennessee, Utah, Vermont, Virginia, Washington and West Virginia .

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