Tim Sweeney, CEO of Epic Games, had concerns that his company’s recent victory in a high-profile legal case against Google’s app store monopoly might not suffice to foster genuine competition. This apprehension stems from the possibility that even if Google could no longer block alternative marketplaces on Android, phone manufacturers could still render them less accessible. In a lawsuit filed today, Epic Games claims that Google has conspired with Samsung to accomplish just that.
According to Epic Games, some recent Samsung phone models have necessitated changes to settings in order to install apps from sources other than the Google Play Store, including Epic’s app marketplace. This requirement, effective since July, impacts the installation process for apps launched in August. Samsung attributes the functionality, termed Auto Blocker, to safeguarding against “applications from unauthorized sources” and preventing “malicious activity.” However, Epic Games contends that Auto Blocker complicates the installation process, extending it from 15 steps to 21. The company argues that previous findings indicate that additional steps correlate with a decline in the number of users completing the installation.
“It is not about reasonable measures to protect users against malware,” Sweeney stated during a pre-lawsuit briefing. “It’s about obstruction of competition.”
Google and Samsung did not immediately comment on the lawsuit filed by Epic Games in federal court in San Francisco.
This litigation extends Epic Games’ initiative, started in 2020, to enhance options for mobile users and increase its revenue. While installing apps from diverse sources is typically straightforward on desktops and laptops, Apple and Google have implemented warnings and policy restrictions to channel users towards their respective app stores—iOS App Store and Google Play—which are highly lucrative due to the sales commissions they accrue.
Epic Games previously secured a modest concession from Apple through legal action, though the issue remains under contention. Additionally, a judge is expected to soon announce penalties against Google.
During the press conference, Sweeney admitted that Epic Games lacks unequivocal evidence proving collaboration between Google and Samsung in deploying Auto Blocker. Nevertheless, emails and notes presented during last year’s jury trial against Google revealed frequent discussions between Google and Samsung aimed at stifling competition, an accusation Google denied.
Earlier this month, Sweeney contacted two senior executives at Samsung, urging them to reconsider the Auto Blocker approach to facilitate smoother software downloads. However, an agreement beneficial to all developers could not be achieved, leading to the lawsuit. “We are going to continue to fight until there is a level playing field,” Sweeney stated, expressing regret that legal action against Samsung was necessary, given its previous promotion of Epic’s offerings.
Epic Games has seen over 10 million installations of its mobile app store but has fallen short of its target of 100 million installs by year-end, a shortfall Sweeney attributes to Auto Blocker and other obstacles. The ongoing legal battles against Apple and Google have imposed significant financial burdens on Epic Games. “The benefits only come in the future when the obstructions have truly been eliminated,” Sweeney commented.
