Source: PaymentDive by James Pothen
Tech giants Google and Apple have payments businesses that have been steadily growing in importance to their bottom lines. But their payments plays are facing increasing legal pressures from other companies and government agencies.
Mountain View, California-based Google, which is owned by parent company Alphabet, lost a federal court battle last year with Epic Games, maker of the popular video game Fortnite. The tech giant said it will appeal a finding by a California court that it maintained an illegal monopoly through its app store for phones using its Android operating system. At stake is Google’s revenue from in-app purchases, of which it takes a cut of up to 30%.
“We plan to challenge the verdict,” Google Vice President Wilson White said in an emailed statement. “We will continue to defend the Android business model and remain deeply committed to our users, partners, and the broader Android ecosystem.”
Cupertino, California-based Apple mostly prevailed in a similar lawsuit in a federal court in California’s northern district brought by Epic Games in 2021. However, Epic appealed that ruling to the San Francisco-based 9th U.S. Circuit Court of Appeals. Both Apple and Epic appealed the second ruling to the Supreme Court last July, but on Tuesday the justices declined to hear the case, according to a report by Reuters.
Read full article: https://www.paymentsdive.com/news/apple-google-payment-digital-wallet-regulation-epic-justice-department-visa-mastercard/704525/
