Google could lose over a billion pounds sterling due to Play Store fees

Google could lose over a billion pounds sterling due to Play Store commissions

A class-action lawsuit worth over a billion pounds sterling has been filed against Google in the UK over commissions the company charged users and developers through its Play Store app marketplace. The lawsuit, filed on behalf of approximately 20 million consumers, has begun hearings in London.

The case is being heard by the Competition Appeal Tribunal. The plaintiffs argue that Google used its dominant market position to charge commissions of up to 30% on app purchases, in-game payments, and subscriptions. According to their version, developers passed these costs on to users.

The lawsuit is led by consumer rights advocate Liz Coll. Her representatives also claim that Google applied the commission even when purchases were made through other platforms. As an example, they cite the YouTube Premium subscription, where, according to the plaintiffs, when sold through the App Store, the company passed Apple's commission on to the cost for the consumer.

Google and its parent company Alphabet reject the allegations. The company stated that the lawsuit fails to take into account the choices that Android provides, and that Google's commissions are among the lowest in the market.

Google's lawyers also argue that the Play Store faces significant competition from both developers and users, including the App Store and other platforms.

The proceedings have become yet another British case against major tech companies over commissions in digital stores. Similar lawsuits have been considered against Apple and Sony, which were also accused of charging commissions of up to 30%.

Earlier this summer, Google lost another antitrust dispute in Europe: the EU court finally upheld a 4.1 billion euro fine against the company for violating competition rules in the operation of Android.