37 US States Sued Google Monopolistic Business Practices

Google Monopolistic Business.

Google just got sued by 37 US states and district attorneys over alleged Play Store monopoly over Android devices. The lawsuit also claims that Google is engaged in buying out competitors and utilizes restrictive contracts to discourage competition across Android ecosystem.

The law suit filing was led by New York, Utah, Tennessee, and North Carolina. The lawsuit further argues that the tech giant has “taken steps to close the ecosystem” as it has also acquired Android. Moreover, Google has also taken steps to buy “key app developers”, as well as Samsung, to restrict and limit competition in Android.

Utah’s Attorney General Sean Reyes said, “Google Play is not fair play. It must stop using its monopolistic power and hyper-dominant market position to unlawfully leverage billions of added dollars from smaller companies, competitors, and consumers beyond what should be paid.”

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On the other hand, Google responded by saying that the lawsuit is meritless and “it ignores Android’s openness.” The response also said, “This lawsuit isn’t about helping the little guy or protecting consumers. It’s about boosting a handful of major app developers who want the benefits of Google Play without paying for it.”

In the lawsuit, the states demand civil penalties on Google as well as a monitoring committee to ensure Google is not restricting or limiting choice among users as well as developers.

With the action being taken against Google, the states have not ruled out the possibility of taking the same steps against the App Store. Apple is already facing a tough time in the shape of antitrust lawsuits courtesy of Epic Games. In days to come, we can expect to see a similar lawsuit going up against Apple for its monopolistic business practices in App Store.