Google Offers Android App Developers $90 Million to Settle Class-Action Lawsuit
In an attempt to settle a class-action lawsuit and avoid years of litigation, Google is offering Android app developers $90 million in compensation.
The lawsuit was filed back in August 2020, and accused Google of improperly attaining and maintaining a monopoly in the US market for Android OS distribution and in-app product transaction fees. Google is also accused of using its power to "prevent competition that would benefit all Android app developers."
US developers are being represented by Hagens Berman Sobol Shapiro LLP, which handled a similar class-action lawsuit against Apple last year.
"Today, nearly 48,000 hardworking app developers are receiving the just payment they deserve for their work product – something Google sought to profit from, hand over fist," said Steve Berman(Opens in a new window), managing partner and co-founder of Hagens Berman. "Under the settlement agreement we’ve built, some class members will likely see payments in the hundreds of thousands of dollars, upwards of $200,000 or more."
If the court approves the proposed settlement, the minimum payment received by each developer will be $250. In a blog post(Opens in a new window), Google's VP for Government Affairs & Public Policy, Wilson White, said the $90 million fund will support any US developers who earned $2 million or less in annual revenue through Google Play between 2016-2021. Any developers who qualifies to receive money will be notified assuming this goes ahead.
White points out the changes Google has made recently that "help developers innovate and communicate with their users." These include the app commission rate dropping from 30% to 15% for the first $1 million in annual revenue earned through the Play Store. The Developer
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