May 16, 2022

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Major Tinder company Match Group is suing Google, alleging anti-competitive app store behavior

Major Tinder company Match Group is suing Google, alleging anti-competitive app store behavior


Washington
CNN Business

The dating app company behind Tinder, OkCupid, and Match.com Google sued on Monday, alleging that the tech giant operates an illegal monopoly on the Google Play Store and that in-app payment policiesAnd Including 30% of in-app purchases, it is considered anti-competitive.

The Match Group lawsuit is the latest antitrust complaint to be filed against Google

(The Google)
After years of scrutiny of its business practices. The lawsuit, filed in the US District Court for the Northern District of California, claims that Google

(The Google)
Not only do they have a monopoly on Android app distribution, but app makers are also forced to accept contract language that restricts them to using Google

(The Google)
In-app payment technology that asks them to pay a fee to Google

(The Google)
.

“These exorbitant ‘fees’ are forcing developers to charge users more for their services and for the use of resources they might invest in our people, technology, and user-requested features,” Match Group said in its report. advertisement. “In addition, monopolizing the in-app payments market will strengthen Google’s near-total control of the Android ecosystem.”

In a statement, Match Group CEO Shar Dubey called the complaint a “measure of last resort,” adding that Google had told Match that its apps would be removed from the Google Play Store at the beginning of June unless Match adheres to a rule introduced in 2020 that requires apps to It exclusively uses Google’s in-app payment processing.

“By insisting on the exclusive use of Google Play billing, Google seeks to include itself as an intermediary between users and developers, and prevents Match Group from providing direct service to its customers in many important issues,” the company said, arguing that Google “left us no choice but to take Legal action “.

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In response, Google said In a blog post On Monday, Match Group is simply trying to get rid of paying for services Google offers as part of its platform.

Google said the vast majority of apps on the Google Play Store pay no fees, and Match Group apps are among 3% on its platform. Furthermore, Google added, Match had “plenty of time” to adapt to the changes announced by Google in 2020.

“As a platform, we always look to work in good faith with partners to grow and develop the ecosystem, but we will stand firm against false attacks on our business, especially when they put users at risk and jeopardize our ability to survive,” wrote Wilson White, Google’s Vice President of Government and Public Policy at Google.

The Match Group suit is similar to that made by Epic Games, the maker of “Fortnite,” which has sued both Apple and Google over similar claims. else publica federal judge ruled in favor of Apple and against Epic, although its decision is under appeal.

Big tech companies including Apple and Google have reduced some of their app store fees in recent years, amid growing complaints from app developers and policy makers. This year, for example, Google lowered its fee for in-app subscriptions from 30% to 15%. In 2020, Apple announced a new version Young Developer Program That cuts their commission to 15%.