In a significant blow to tech giant Google, the company has lost an antitrust trial to game developer Epic Games, the creator of the popular 'Fortnite' video game. The jury found that Google's app store is an illegal monopoly on Android phones, violating federal antitrust law by abusing power over app distribution and payments.

The jury sided with Epic Games on all counts, including Google's monopoly in app distribution on Android phones, breaking competition laws in running its app store, and setting up special deals with some companies to prevent them from building competing app stores. The jury found that Google had illegally tied their app store (Google Play) to their billing service, requiring game developers to use the billing service to have their games included on the store, with a commission fee of up to 30% for any purchases and in-app purchases.

Epic Games said in a statement, '(Today's verdict) proves that Google's app store practices are illegal and they abuse their monopoly to extract exorbitant fees, stifle competition and reduce innovation.'

The decision comes amidst other antitrust cases Google is facing, including cases against the US Department of Justice and two other cases against US state coalitions. Matt Stoller, Research Director at American Economic Liberties Project, commented on the decision, 'These kinds of decisions have a bandwagon effect. The precedent is set…Judges are cautious, and are generally afraid of being the first to make a precedent-setting decision. Now they won’t have to.'

During the trial, it was revealed Google had deleted some employee chat logs potentially relevant to the case. Jason Kint, CEO of Digital Content Next, said that the evidence of deleted chat logs 'should rightly haunt and damage Google’s defence across all of its antitrust trials.'

Tim Sweeney, CEO of Epic Games, confirmed that determining remedies will commence in January 2024. Epic Games is seeking an injunction that could force Google to open the distribution of apps on android phones beyond the Google Play store.

Google will appeal the decision. Wilson White, Vice President of Government Affairs and Public Policy at Google, said, 'We will continue to defend the Android business model and remain deeply committed to our users, partners, and the broader Android ecosystem'.

Epic Games lodged a similar antitrust case against Apple in 2020, but the US judge ruled in favour of Apple in 2021. Following the decision in the Google case, Epic Games has requested that the US Supreme Court revive Epic’s key claims in the Apple case.

- Noah Bass