Google Faces £1.2bn Android App Overcharge Lawsuit

A major antitrust lawsuit, seeking £1.2bn in damages, is commencing in London against Google. Millions of UK consumers are claiming they were overcharged for app downloads on Android devices for over a decade. The class action, financed by Fortress Investment Group, alleges Google's parent company, Alphabet, has restricted competition and levied excessive fees on purchases made through the Google Play Store since 2015.

If the claimants are successful, roughly 20 million consumers could collectively receive around £60 each. The lawsuit is led by consumer policy specialist Liz Coll, who contends that excessive commission fees, sometimes as high as 30%, have been passed on to users. Google firmly denies engaging in anti-competitive practices, arguing that Android provides greater consumer choice and that the Play Store enhances cybersecurity.

This legal challenge follows similar antitrust actions. In 2023, Google lost a high-profile case in California to Epic Games over app store policies and paid $700 million to settle a US antitrust lawsuit concerning payment systems. Additionally, Google agreed to pay £260 million earlier this year to settle a related UK case concerning developer commissions.

Google's defence highlights that most Play Store apps are free and that it has reduced commission rates over time. The company also warns that allowing unverified app stores could increase fraud. Google maintains that its services operate within a competitive market and that the lawsuit disregards the choices available to consumers.