On Thursday, Alphabet’s Google was unsuccessful in its attempt to convince a US appeals panel to overturn a jury verdict and a federal court order mandating significant changes to its app store, Play.
The 9th US Circuit Court of Appeals, based in San Francisco, issued a unanimous ruling that dismissed Google’s allegations of legal errors made during the antitrust trial, which was brought forward by Epic Games, the developer behind “Fortnite,” in 2020.
Circuit Judge M. Margaret McKeown, along with Judges Danielle Forrest and Gabriel Sanchez, noted that the record presented in Epic’s case was filled with substantial evidence indicating that Google’s anticompetitive practices reinforced its market dominance.
This ruling poses considerable challenges for Google, which is already facing multiple legal battles, including a lawsuit initiated by the US Justice Department that alleges various aspects of its business operations violate antitrust regulations.
Epic Games accused Google of monopolizing app access on Android devices and restricting payment methods within apps. In 2023, a jury in San Francisco found in favor of Epic, asserting that Google had unlawfully hindered competition.
US District Judge James Donato ordered in October for Google to take necessary steps to restore competition by permitting users to download alternative app stores through its Play store and by granting access to Play’s app catalog to rival platforms, among other changes.
This order from Donato was temporarily paused while the 9th Circuit appeal was under consideration. The decision from the appeals court can be escalated to the full panel of the 9th Circuit and potentially to the U.S. Supreme Court.
In response to the ruling, Lee-Anne Mulholland, Google’s vice president of regulatory affairs, expressed concerns that the appeals court’s decision “will significantly harm user safety, limit choice, and undermine the innovation that has always been central to the Android ecosystem.”
The tech giant affirmed its commitment to maintaining “a secure platform while we continue our appeal.”
Tim Sweeney, CEO of Epic Games, celebrated the ruling on social media, stating, “Thanks to the verdict, the Epic Games Store for Android will be coming to the Google Play Store!”
During the hearing, Google emphasized that its Play store functions as a competitor to Apple’s App Store, arguing that Donato unjustly restricted its ability to present this defense against Epic’s antitrust claims.
Additionally, Google contended that Epic’s lawsuit should have been addressed without a jury because it sought to impose an injunction against Google’s operations rather than seeking damages.
The appeals panel affirmed that Judge Donato had conducted extensive proceedings prior to issuing the injunction and accompanying order.
Epic defended both the verdict and the injunction before the 9th Circuit, asserting that the Android app market had experienced prolonged anticompetitive behavior for nearly a decade.
Throughout both the trial and the appeal, Epic countered Google’s claims that the mandated changes to its app ecosystem would jeopardize user privacy and security.
Microsoft, along with support from the US Justice Department and the Federal Trade Commission, filed a brief backing Epic’s position.
In addition to this case, Epic is also engaged in legal disputes with Apple over a US judge’s order that requires the iPhone manufacturer to provide developers with more flexibility in directing consumers to make purchases outside of its App Store.
Apple has filed an appeal against a ruling that asserted it violated an earlier injunction related to the lawsuit filed by Epic in 2020.
© Thomson Reuters 2025
