Google Play Store

Google tells court it shouldn’t have to distribute third-party app stores

google epic games, Google Play Store, Policy / Ryan Harris / May 5, 2024

Getty Images | Kirill Kudryavtsev

Google urged a federal court to reject Epic Games’ request for an injunction that would reduce Google’s control of the Android app distribution and in-app payment markets.

“Rather than a judicial injunction against alleged violations of law, Epic asks this Court to create a new global regulatory regime that would set prices, impose ongoing duties to deal, and require the Court to micromanage on an ongoing basis a highly complex and dynamic ecosystem that is used by billions of consumers and millions of app developers and that supports the business of hundreds of OEMs and carriers around the world,” stated Google’s objections filed yesterday in US District Court for the Northern District of California.

In December 2023, the maker of Fortnite won a jury ruling that found Google engaged in anticompetitive conduct in order to maintain monopolies in the Android app distribution market and the Android market for in-app billing. The jury sided with Epic on every question it was presented.

Following up on its trial win, Epic submitted a proposed injunction last month. Google yesterday said it objects to proposed provisions “requiring Google to distribute other app stores and make its entire app catalog available to every other app store, prohibiting Google from negotiating with OEMs for non-exclusive placement and with developers for differentiated content, and chilling Google’s business relationships by restricting conduct that ‘incentivizes’ or ‘disincentivizes’ third parties.”

Epic’s proposal would require Google to allow distribution of third-party app stores on the Google Play store for at least six years. Google would also have to provide third-party app stores access to the Google Play app catalog for at least six years.

Google: Settlement with states is enough

Google said there is no need for Epic’s proposed injunction because Google already agreed to remedies in a $700 million settlement with US states that had sued on similar grounds. Google’s settlement with states was announced about a week after Epic’s win.

“Those remedies—endorsed by all 50 States, the District of Columbia, and two territories—span nearly every topic covered by Epic’s proposed injunction and fully address the alleged anticompetitive conduct and effects that Epic presented to the jury at trial,” Google wrote in yesterday’s filing. “Those remedies would further promote competition among app stores, ensure that competing app stores can enter preload agreements with OEMs, simplify direct installation, and allow developers to choose among billing systems.”

“By contrast, Epic’s proposed injunction seeks to tilt competition in its favor to the detriment of other developers, OEMs, consumers, and Android users,” Google said. Google contends that Epic’s proposed injunction would harm other developers and OEMs “by depriving them of choices and reducing competition for their business and while undermining the security and privacy of Android users.”

According to Utah Attorney General Sean Reyes’ office, the settlement with states lets Google users “pay through in-app billing systems other than Google Play Billing for at least five years,” and lets developers “steer consumers toward alternative, non-Google billing systems by advertising lower prices within their apps for at least five years.”

The deal with states prohibits Google from “enter[ing] into contracts that require the Play Store to be the exclusive, pre-loaded app store on a device or home screen for at least five years,” and requires Google to “allow third-party apps on Android phones outside the Google Play Store for at least seven years.” Google also has to “revise and reduce the warnings on an Android device if a user attempts to download a third-party app from outside the Google Play Store for at least five years,” and “maintain Android system support for third-party app stores, including automatic updates, for four years.”

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Google mocks Epic’s proposed reforms to end Android app market monopoly

android, android app marketplace, Android Apps, anticompetitive behavior, Antitrust law, App Store, epic games, epic games store, gaming, Google, Google Play Store, monopoly, Policy / Ari B / April 12, 2024

Epic Games has filed a proposed injunction that would stop Google from restricting third-party app distribution outside Google Play Store on Android devices after proving that Google had an illegal monopoly in markets for Android app distribution.

Epic is suggesting that competition on the Android mobile platform would be opened up if the court orders Google to allow third-party app stores to be distributed for six years in the Google Play Store and blocks Google from entering any agreements with device makers that would stop them from pre-loading third-party app stores. This would benefit both mobile developers and users, Epic argued in a wide-sweeping proposal that would greatly limit Google’s control over the Android app ecosystem.

US District Court Judge James Donato will ultimately decide the terms of the injunction. Google has until May 3 to respond to Epic’s filing.

A Google spokesperson confirmed to Ars that Google still plans to appeal the verdict—even though Google already agreed to a $700 million settlement with consumers and states following Epic’s win.

“Epic’s filing to the US Federal Court shows again that it simply wants the benefits of Google Play without having to pay for it,” Google’s spokesperson said. “We’ll continue to challenge the verdict, as Android is an open mobile platform that faces fierce competition from the Apple App Store, as well as app stores on Android devices, PCs, and gaming consoles.”

If Donato accepts Epic’s proposal, Google would be required to grant equal access to the Android operating system and platform features to all developers, not just developers distributing apps through Google Play. This would allow third-party app stores to become the app update owner, updating any apps downloaded from their stores as seamlessly as Google Play updates apps.

Under Epic’s terms, any app downloaded from anywhere would operate identically to apps downloaded from Google Play, without Google imposing any unnecessary distribution fees. Similarly, developers would be able to provide their own in-app purchasing options and inform users of out-of-app purchasing options, without having to use Google’s APIs or paying Google additional fees.

Notably, Epic filed its lawsuit after Google removed the Epic game Fortnite from the Google Play Store because Epic tried to offer an “Epic Direct Payment” option for in-game purchases.

“Google must also allow developers to communicate directly with their consumers, including linking from their app to a website to make purchases and get deals,” Epic said in a blog post. “Google would be blocked from using sham compliance programs like User Choice Billing to prevent competing payment options inside an app or on a developer’s website.”

Unsurprisingly, Epic’s proposed injunction includes an “anti-retaliation” section specifically aimed at protecting Epic from any further retaliation. If Donato accepts the terms, Google would be violating the injunction order if the tech giant fails to prove that it is not “treating Epic differently than other developers” by making it “disproportionately difficult or costly” for Epic to develop, update, and market its apps on Android.

That part of the injunction would seem important since, last month, Epic announced that an Epic Games Store was “coming to iOS and Android” later this year. According to Inc, Epic told Game Developers Conference attendees that its app-distribution platform will be the “first ever game-focused, multiplatform store,” working across “Android, iOS, PC and macOS.”

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Google sues two crypto app makers over allegedly vast “pig butchering” scheme

crypto scams, Cryptocurrency, Google, google play, Google Play Store, Google Voice, Google Workspace, play store, Policy, racketeering, youtube / Ari B / April 4, 2024

Foul Play —

Crypto and other investment app scams promoted on YouTube targeted 100K users.

Ashley Belanger – Apr 4, 2024 5: 48 pm UTC

Google has sued two app developers based in China over an alleged scheme targeting 100,000 users globally over four years with at least 87 fraudulent cryptocurrency and other investor apps distributed through the Play Store.

The tech giant alleged that scammers lured victims with “promises of high returns” from “seemingly legitimate” apps offering investment opportunities in cryptocurrencies and other products. Commonly known as “pig-butchering schemes,” these scams displayed fake returns on investments, but when users went to withdraw the funds, they discovered they could not.

In some cases, Google alleged, developers would “double down on the scheme by requesting various fees and other payments from victims that were supposedly necessary for the victims to recover their principal investments and purported gains.”

Google accused the app developers—Yunfeng Sun (also known as “Alphonse Sun”) and Hongnam Cheung (also known as “Zhang Hongnim” and “Stanford Fischer”)—of conspiring to commit “hundreds of acts of wire fraud” to further “an unlawful pattern of racketeering activity” that siphoned up to $75,000 from each user successfully scammed.

Google was able to piece together the elaborate alleged scheme because the developers used a wide array of Google products and services to target victims, Google said, including Google Play, Voice, Workspace, and YouTube, breaching each one’s terms of service. Perhaps most notably, the Google Play Store’s developer program policies “forbid developers to upload to Google Play ‘apps that expose users to deceptive or harmful financial products and services,’ including harmful products and services ‘related to the management or investment of money and cryptocurrencies.'”

In addition to harming Google consumers, Google claimed that each product and service’s reputation would continue to be harmed unless the US district court in New York ordered a permanent injunction stopping developers from using any Google products or services.

“By using Google Play to conduct their fraud scheme,” scammers “have threatened the integrity of Google Play and the user experience,” Google alleged. “By using other Google products to support their scheme,” the scammers “also threaten the safety and integrity of those other products, including YouTube, Workspace, and Google Voice.”

Google’s lawsuit is the company’s most recent attempt to block fraudsters from targeting Google products by suing individuals directly, Bloomberg noted. Last year, Google sued five people accused of distributing a fake Bard AI chatbot that instead downloaded malware to Google users’ devices, Bloomberg reported.

How did the alleged Google Play scams work?

Google said that the accused developers “varied their approach from app to app” when allegedly trying to scam users out of thousands of dollars but primarily relied on three methods to lure victims.

The first method relied on sending text messages using Google Voice—such as “I am Sophia, do you remember me?” or “I miss you all the time, how are your parents Mike?”—”to convince the targeted victims that they were sent to the wrong number.” From there, the scammers would apparently establish “friendships” or “romantic relationships” with victims before moving the conversation to apps like WhatsApp, where they would “offer to guide the victim through the investment process, often reassuring the victim of any doubts they had about the apps.” These supposed friends, Google claimed, would “then disappear once the victim tried to withdraw funds.”

Another strategy allegedly employed by scammers relied on videos posted to platforms like YouTube, where fake investment opportunities would be promoted, promising “rates of return” as high as “two percent daily.”

The third tactic, Google said, pushed bogus affiliate marketing campaigns, promising users commissions for “signing up additional users.” These apps, Google claimed, were advertised on social media as “a guaranteed and easy way to earn money.”

Once a victim was drawn into using one of the fraudulent apps, “user interfaces sought to convince victims that they were maintaining balances on the app and that they were earning ‘returns’ on their investments,” Google said.

Occasionally, users would be allowed to withdraw small amounts, convincing them that it was safe to invest more money, but “later attempts to withdraw purported returns simply did not work.” And sometimes the scammers would “bilk” victims out of “even more money,” Google said, by requesting additional funds be submitted to make a withdrawal.

“Some demands” for additional funds, Google found, asked for anywhere “from 10 to 30 percent to cover purported commissions and/or taxes.” Victims, of course, “still did not receive their withdrawal requests even after these additional fees were paid,” Google said.

Which apps were removed from the Play Store?

Google tried to remove apps as soon as they were discovered to be fraudulent, but Google claimed that scammers concocted new aliases and infrastructure to “obfuscate their connection to suspended fraudulent apps.” Because scammers relied on so many different Google services, Google was able to connect the scheme to the accused developers through various business records.

Fraudulent apps named in the complaint include fake cryptocurrency exchanges called TionRT and SkypeWallet. To make the exchanges appear legitimate, scammers put out press releases on newswire services and created YouTube videos likely relying on actors to portray company leadership.

In one YouTube video promoting SkypeWallet, the supposed co-founder of Skype Coin uses the name “Romser Bennett,” which is the same name used for the supposed founder of another fraudulent app called OTCAI2.0, Google said. In each video, a completely different presumed hired actor plays the part of “Romser Bennett.” In other videos, Google found the exact same actor plays an engineer named “Rodriguez” for one app and a technical leader named “William Bryant” for another app.

Another fraudulent app that was flagged by Google was called the Starlight app. Promoted on TikTok and Instagram, Google said, that app promised “that users could earn commissions by simply watching videos.”

The Starlight app was downloaded approximately 23,000 times and seemingly primarily targeted users in Ghana, allegedly scamming at least 6,000 Ghanian users out of initial investment capital that they were told was required before they could start earning money on the app.

Across all 87 fraudulent apps that Google has removed, Google estimated that approximately 100,000 users were victimized, including approximately 8,700 in the United States.

Currently, Google is not aware of any live apps in the Play Store connected to the alleged scheme, the complaint said, but scammers intent on furthering the scheme “will continue to harm Google and Google Play users” without a permanent injunction, Google warned.

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Apple, Google, and Meta are failing DMA compliance, EU suspects

alphabet, App Store, Apple, Apple App Store, facebook, Facebook subscription, Google, Google Play Store, google search, Instagram, instagram subscription, Meta, Policy / Ari B / March 25, 2024

Enlarge / EU Commissioner for Internal Market Thierry Breton talks to media about non-compliance investigations against Google, Apple, and Meta under the Digital Markets Act (DMA).

Not even three weeks after the European Union’s Digital Markets Act (DMA) took effect, the European Commission (EC) announced Monday that it is already probing three out of six gatekeepers—Apple, Google, and Meta—for suspected non-compliance.

Apple will need to prove that changes to its app store and existing user options to swap out default settings easily are sufficient to comply with the DMA.

Similarly, Google’s app store rules will be probed, as well as any potentially shady practices unfairly preferencing its own services—like Google Shopping and Hotels—in search results.

Finally, Meta’s “Subscription for No Ads” option—allowing Facebook and Instagram users to opt out of personalized ad targeting for a monthly fee—may not fly under the DMA. Even if Meta follows through on its recent offer to slash these fees by nearly 50 percent, the model could be deemed non-compliant.

“The DMA is very clear: gatekeepers must obtain users’ consent to use their personal data across different services,” the EC’s commissioner for internal market, Thierry Breton, said Monday. “And this consent must be free!”

In total, the EC announced five investigations: two against Apple, two against Google, and one against Meta.

“We suspect that the suggested solutions put forward by the three companies do not fully comply with the DMA,” antitrust chief Margrethe Vestager said, ordering companies to “retain certain documents” viewed as critical to assessing evidence in the probe.

The EC’s investigations are expected to conclude within one year. If tech companies are found non-compliant, they risk fines of up to 10 percent of total worldwide turnover. Any repeat violations could spike fines to 20 percent.

“Moreover, in case of systematic infringements, the Commission may also adopt additional remedies, such as obliging a gatekeeper to sell a business or parts of it or banning the gatekeeper from acquisitions of additional services related to the systemic non-compliance,” the EC’s announcement said.

In addition to probes into Apple, Google, and Meta, the EC will scrutinize Apple’s fee structure for app store alternatives and send retention orders to Amazon and Microsoft. That makes ByteDance the only gatekeeper so far to escape “investigatory steps” as the EU fights to enforce the DMA’s strict standards. (ByteDance continues to contest its gatekeeper status.)

“These are the cases where we already have concrete evidence of possible non-compliance,” Breton said. “And this in less than 20 days of DMA implementation. But our monitoring and investigative work of course doesn’t stop here,” Breton said. “We may have to open other non-compliance cases soon.

Google and Apple have both issued statements defending their current plans for DMA compliance.

“To comply with the Digital Markets Act, we have made significant changes to the way our services operate in Europe,” Google’s competition director Oliver Bethell told Ars, promising to “continue to defend our approach in the coming months.”

“We’re confident our plan complies with the DMA, and we’ll continue to constructively engage with the European Commission as they conduct their investigations,” Apple’s spokesperson told Ars. “Teams across Apple have created a wide range of new developer capabilities, features, and tools to comply with the regulation. At the same time, we’ve introduced protections to help reduce new risks to the privacy, quality, and security of our EU users’ experience. Throughout, we’ve demonstrated flexibility and responsiveness to the European Commission and developers, listening and incorporating their feedback.”

A Meta spokesperson told Ars that Meta “designed Subscription for No Ads to address several overlapping regulatory obligations, including the DMA,” promising to comply with the DMA while arguing that “subscriptions as an alternative to advertising are a well-established business model across many industries.”

The EC’s announcement came after all designated gatekeepers were required to submit DMA compliance reports and scheduled public workshops to discuss DMA compliance. Those workshops conclude tomorrow with Microsoft and appear to be partly driving the EC’s decision to probe Apple, Google, and Meta.

“Stakeholders provided feedback on the compliance solutions offered,” Vestager said. “Their feedback tells us that certain compliance measures fail to achieve their objectives and fall short of expectations.”

Apple and Google app stores probed

Under the DMA, “gatekeepers can no longer prevent their business users from informing their users within the app about cheaper options outside the gatekeeper’s ecosystem,” Vestager said. “That is called anti-steering and is now forbidden by law.”

Stakeholders told the EC that Apple’s and Google’s fee structures appear to “go against” the DMA’s “free of charge” requirement, Vestager said, because companies “still charge various recurring fees and still limit steering.”

This feedback pushed the EC to launch its first two probes under the DMA against Apple and Google.

“We will investigate to what extent these fees and limitations defeat the purpose of the anti-steering provision and by that, limit consumer choice,” Vestager said.

These probes aren’t the end of Apple’s potential app store woes in the EU, either. Breton said that the EC has “many questions on Apple’s new business model” for the app store. These include “questions on the process that Apple used for granting and terminating membership of” its developer program, following a scandal where Epic Games’ account was briefly terminated.

“We also have questions on the fee structure and several other aspects of the business model,” Breton said, vowing to “check if they allow for real opportunities for app developers in line with the letter and the spirit of the DMA.”

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Meta Wants Android Play Store Apps Officially on Quest but Google “didn’t want to”

Google, Google Play Store, Google VR, Meta, Meta Quest 3 News & Reviews, meta vr, play store, quest 3 play store, quest store / Blake Jones / November 14, 2023

There are relatively few 2D Android apps available on the Quest Store, which seems odd since the Quest hardware runs a modified version of Android. According to Meta CTO Andrew ‘Boz’ Bosworth, Google simply isn’t interested in bringing the full Play Store of apps to Quest.

“There’s nothing preventing Android developers who have an APK running on Android phones today from bringing that into VR,” Bosworth said in a recent AMA via Instragram. “They just need to ship the APK to us, and maybe they need to do some light modification depending on how the control scheme would work, but not necessarily much after that.”

So much is clear when it comes to publishing the app directly to the Quest Store, which is the case for apps such as Peacock, Pluto TV, WhatsApp, and Instagram. But what about the millions of apps on Google’s official Play Store?

“We don’t have a way of automatically ingesting those [APKs],” Bosworth continues. “We would love for Google to bring their Play Store of apps to VR. We’ve asked them. They don’t want to do it, so it’s kind of up to the developers to do that.”

While Google’s Play Store is chock-full of useful, oftentimes free apps, what Bosworth doesn’t mention in his AMA are some of the complications that would naturally arise from having the Play Store on Quest. Not only could it open up a host of hypothetical issues with how revenue is split, but also how developers might choose to publish their apps.

For non-subscription-based apps, Google takes a 30% revenue cut from developers, while Meta does the same for both the Quest Store and App Lab. But why would Meta want Google sneaking away revenue, or vice versa? It seems doubtful that two such prominent digital storefronts could coexist on a single device.

There’s also the matter of the Samsung-Google-Qualcomm partnership we heard about earlier this year, which is set to bring an Android-powered XR headset to market, suggesting that Google hasn’t given up on headsets despite having completely shelved both its Daydream VR platform and AR glasses Project Iris.

Whatever the case, Quest headsets are fundamentally Android devices, so enterprising users can thankfully sideload APKs fairly easily via the ever-useful SideQuest software. Granted, the onus is on the user to source the APK in the first place, but with no other way to listen to Spotify while browsing the web without needing to tether to a computer, or using a Netflix app that’s actually updated, it’s thankfully feasible.

If you’re interested in giving it a go, check out our guide on How and Why to Sideload Games on Quest, which takes you step-by-step on the process of getting both 2D and VR-native apps on your Quest headset, but also (if it isn’t apparent by now) why you’d want to do it in the first place.

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