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Epic Games and Google have finally reached a settlement, and this could end their legal battle that has been ongoing for the last five years. The feud was essentially over Google Play Store’s policies, and could be a potential turning point for app store monopolies and marketplace competition.
The agreement between the two was filed in the San Francisco federal court on Tuesday, November 5, 2025, and it promises to reshape how developers distribute apps and process payments on Android devices. It also addresses concerns that have long plagued the mobile gaming industry.
When did the Epic Games and Google legal battle start?
The conflict began in 2020 when Epic Games filed simultaneous lawsuits against both Google's Play Store and Apple's App Store. They challenged the exclusive payment processing systems that charged developers 15% to 30% commissions on in-app transactions.
Epic objected to the mandatory fees and argued that this constituted anticompetitive behavior. The fees unfairly burdened developers while generating billions for the platform.
The dispute further escalated when Epic violated the policies of both the major app stores and directly implemented a payment system in Fortnite. Following this, the game was removed from the platforms, triggering the legal actions.
Epic Games’ legal victory
Epic Games managed to score a victory when a federal appeals court upheld a jury verdict condemning Google's Android App Store as an illegal monopoly. The Ninth Circuit Court of Appeals ruling cleared the way for U.S. District Judge James Donato to enforce potentially disruptive changes designed to give consumers more choices and developers greater freedom.Google suffered another blow in October 2025 when the U.S. Supreme Court refused to protect it from Judge Donato's required app store makeover.
This has forced structural changes to the Play Store ecosystem.
Settlement between Epic Games and Google
While specific settlement terms remain under seal, both companies have outlined key provisions in their joint filing. The agreement closely follows Donato's October 2024 ruling ordering Google to dismantle the digital barriers protecting its Android app store from competition.Some of the key settlement provisions include:
- Reduced commission rates: Google will limit payment processing fees to between 9% and 20% depending on the transaction type.
- Third-party app store distribution: Google's Play Store must distribute rival third-party app stores. This will allow consumers to directly download alternative marketplaces.
- Enhanced developer flexibility: The settlement expands developer choice in terms of payment processing and app distribution.
Epic Games CEO Tim Sweeney called the settlement an "awesome proposal" in a social media post. In the meantime, Sameer Samat, president of Google's Android division, stated the agreement will "focus on expanding developer choice and flexibility, lowering fees, and encouraging more competition, all while keeping users safe."
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