Photographer: Gabby Jones / Bloomberg
Photographer: Gabby Jones / Bloomberg
At least three U.S. States are investigating Alphabet Inc. about fees charged from developers for purchases and subscriptions within apps. No Google, and according to people familiar with the matter, they could file an antitrust case against the company early next year.
The attorney generals of Utah, North Carolina and New York are among the states that are preparing the lawsuit, which has not been reported before and could be filed as soon as possible in January, people said. Asked not to give identification. Not public.
Read: Google to increase pressure on apps to give in-app purchases a cut
An anti-trust lawsuit against Google over its App Store will be a new attack on search engine giant’s business practices. On Thursday, a group of 38 attorney generals, including New York, North Carolina and Utah, Washington sued the company in federal court in Washington, accusing it of abusing its dominance in online search. That case went further than the claims brought by the Department of Justice in its October lawsuit – and was claimed by 10 states that a day later Google failed to compete illegally in display online display advertising.
Google’s App Store investigation is investigating the 30% cut it took from its Google Play Store developers for in-app purchases. It is a feature that allows users to subscribe to services or purchase upgrades to apps. Google’s 30% cut has dropped to 15% for users who subscribe to the app for a year or more. Apple Pal Inc. Has the same policy.
Investigations show that U.S. In the Attorney General’s conduct on influential tech companies for which he says competition in digital markets has been damaged. Were in states like New York, North Carolina and Utah Earlier this month, Facebook Inc. Claimed, his acquisition by Instagram and WhatsApp was argued that he had violated anti-trust laws and should be prosecuted.
Attorneys general in Utah, North Carolina and New York did not immediately respond to requests for comment after regular business hours.
“Android allows customers to use apps other than Google Play,” Google said in response to an inquiry into the investigation.
“Android always allows people to get apps from multiple app stores,” said Samir Samat, vice president of Android and Google Play. “Each store is able to determine its own business model and customer features. This being open means that even if the developer and Google do not agree to the terms of business, the developer can still distribute on the Android platform. “
Google has long demanded apps to give the cut company, but Netflix Inc. And exempt from many applications and services, including Spotify Technology SA. In September, Google decided it would step up efforts to charge a fee and eventually remove apps from its stores that do not apply to Google’s payment system that gives the company a fixed percentage.
The 0% cut is the same as the one Apple took from the developers, but the iPhone maker in recent months Put that amount back. It began allowing some services to pay a percentage for app-purchases and recently launched a program for developers that generates 1 1 million in revenue or, under each year, app pay to pay only a 15% cut of their app sales.
– With the help of Tina Davis
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