SAN FRANCISCO– A federal judge on Friday stayed an order requiring Google to open its Android app store to more competition until an appeals court decides whether to block the shakeup because of legal questions surrounding a jury verdict that found Google an illegal monopolist.
The stay, granted during a court hearing in San Francisco, comes less than two weeks after U.S. District Judge James Donato ruled issued a decision that would have forced Google to make major changes to the Play Store for Android smartphones from November 1.
The mandatory changes included a provision that required Google to make its library of more than 2 million Android apps available to all rivals who wanted access to the inventory and also distribute the alternative options in its own Play Store.
Google requested a stay of Donato’s order until the Ninth Circuit Court of Appeals could examine the handling of a month-long lawsuit that led to the judgment of December 2023which depicted the Play Store as an illegal monopoly that stifles innovation and drives up consumer prices.
During Friday’s hearing, Donato scoffed at the idea that Google could succeed in overturning the ruling. “The verdict in this case was amply supported by a mountain of evidence of Google’s anticompetitive conduct,” the judge said.
But he decided the Ninth Circuit should be given a chance to consider a delay until a panel of judges can decide whether to consider Google’s appeal of the 2023 trial, focusing on antitrust claims filed by video game maker Epic Games.
Donato said he wouldn’t be surprised if the Ninth Circuit delayed its ruling even longer, “but that’s for someone else to decide.”
In a statement, Google said it was glad Donato hit the pause button as it tries to extend the delay even further. “These solutions threaten Google Play’s ability to provide a secure experience and we look forward to continuing to make our case to help 100 million US Android users, more than 500,000 US developers, and thousands of partners who love our platforms have benefited,” Google said. .
Epic declined to comment.
It’s unclear how long the Ninth Circuit will take to rule on Google’s request to permanently suspend Donato’s ruling while the appeals unfold — a process that could take more than a year.
In 2021, the Ninth Circuit suspended the provision of an order from another federal judge requiring Apple to allow links to alternative payment systems with apps made for the iPhone as part of another antitrust lawsuit brought by Epic.
Although Apple avoided being labeled an illegal monopolist in a lawsuit involving the iPhone App Store, it unsuccessfully challenged the provision requiring the company to allow alternative payment links within apps. But delaying that requirement retained Apple’s exclusive control over a payment system that has generated commissions ranging from 15% to 30% on certain e-commerce that takes place within apps. Apple has exhausted his appeal options to the U.S. Supreme Court earlier this year.
Google also rakes in billions of dollars annually from a similar commission system in the Play Store for Android phones — a setup that will be allowed to continue as long as Google can prevent Donato’s ruling from taking effect.
In its arguments for delaying Donato’s order, Google said it was not given enough time to make the drastic changes, which it described as “a monumental task that poses an unacceptable risk of safety and security flaws within the Android ecosystem.” “
Google also argued that the shakeup would saddle the company with unreasonable costs, a claim that Donato also pushed aside during Friday’s hearing.
“I don’t want to make light of it, but the costs Google could incur seem like a drop in the ocean compared to the profits it makes annually from the Play Store,” Donato said.