Google Prepares $700 Million Payouts From Google Play Antitrust Settlement

By Stocks News   |   6 days ago   |   Stock Market News
Google Prepares $700 Million Payouts From Google Play Antitrust Settlement

Google Play consumers are finally nearing their chance to receive payments from the $700 million settlement Google agreed to in 2023, resolving antitrust complaints brought by 53 states and U.S. territories along with a nationwide class of consumers.

State attorneys general in New York and California confirmed this week that claim notices are now going out, with the first wave delivered last week. The settlement covers a seven-year period of Google Play purchases, from August 2016 through September 2023.

The settlement includes:

  • $630 million deposited into a consumer restitution fund
     
  • $70 million to be distributed among states, D.C., Puerto Rico, and the U.S. Virgin Islands

More than 100 million people made eligible purchases during the covered period, though the number of claimants is not yet known.Consumers who wish to object or opt out have until February 19, 2026, according to the California Attorney General’s office.
A federal judge will consider final approval on April 30, 2026.

U.S. District Judge James Donato granted tentative approval last month after raising concerns about the terms earlier in the case. Most consumers will receive payments automatically, routed through PayPal and Venmo.
The systems will use the email address or phone number linked to the user’s Google Play account, New York AG Letitia James said in a consumer alert.

“For years, Google took advantage of its control over its app store to overcharge its customers and box out competing developers,” James said, encouraging eligible consumers to follow the settlement instructions to ensure repayment. In addition to monetary compensation, the settlement requires Google to modify its business practices for at least five years, including:

  • Allowing developers to offer non-Google payment options
     
  • Permitting developers to offer lower prices inside apps to incentivize alternative billing methods

Google did not admit wrongdoing, liability, or damages as part of the agreement.The consumer-and-states settlement is separate from ongoing litigation brought by Epic Games, which won a jury verdict in 2023 challenging Google’s 30% Play Store commissions. Epic and Google announced a settlement last month and have asked Judge Donato to modify his injunction. On Friday, Donato appointed MIT economics professor Nancy Rose as an expert witness to review whether the proposed terms align with the jury’s findings and support competitive markets.

About Alphabet Inc.

Alphabet Inc. (NASDAQ: GOOGL) is the parent company of Google and one of the world’s largest technology conglomerates. Headquartered in Mountain View, California, Alphabet operates a broad portfolio of businesses spanning online search, digital advertising, cloud computing, artificial intelligence, mobile operating systems, and consumer hardware. Its Google Play Store supports millions of Android apps used worldwide, and Alphabet maintains global operations including data centers, research labs, and advanced AI development initiatives.

 

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