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Epic Games drops antitrust lawsuit against Samsung after reaching settlement

Epic Games, the developer of video games such as Fortnite, has announced the end of its legal dispute against Samsung. The two companies have reached a settlement, closing the antitrust case initiated in September 2024, which accused Samsung of collaborating with Google to block competing app stores on its smartphones. What the Epic Games lawsuit exposed On September 30, 2024, Epic Games filed a lawsuit against Google and Samsung in the United States District Court for the Northern District of California. The document accused Samsung of using its "Auto Blocker" feature, installed by default, to prevent the download of apps from rival app stores. Samsung presents "Auto Blocker" as a security measure intended to block apps from "unknown sources." However, Epic Games claimed in its lawsuit that Samsung and Google used it to block apps from any store other than the Play Store or the Galaxy Store, without any process for other stores to be "authorized." “Auto Blocker is the latest in a long series of agreements in which Google and Samsung have agreed not to compete to protect Google’s monopolistic power. Auto Blocker cements the Google Play Store as the only viable way to get apps on Samsung devices, preventing all other stores from competing on a level playing field,” Epic Games said in a statement. Epic Games identified “Auto Blocker” as a Google ploy stemming from a previous lawsuit. Now that we understand the main thrust of Epic Games’ lawsuit, we need to take another leap back in time to understand the full picture. In 2020, the video game developer sued Google, accusing it of maintaining an illegal monopoly on the distribution of Android apps through the Play Store. In 2023, Epic Games won the case, and the court agreed to impose remedies to open the market to competition. Following this, the video game company launched its Epic Games Store in August 2024, seeking to gain a foothold in the app store market. However, that year, Samsung changed the "Auto Blocker" setting from an optional feature to being installed by default on its mobile devices. Epic viewed this as an attempt by Samsung and Google to coordinate to prevent effective competition in app distribution, potentially negating the expected remedies from the 2023 ruling against Google. "The intended effect of Auto Blocker is clear: it would nullify the Court's injunctions against Google and frustrate any attempt to open the Android app distribution market to competition," the 2024 lawsuit explains. An undisclosed settlement The tweet from Tim Sweeney, founder and CEO of Epic Games, is the only information revealed about the settlement reached by the developer and Samsung. At this time, no further details have been provided on what steps Samsung would have taken to force Epic Games to withdraw its lawsuit. Among the possibilities would be returning "Auto Blocker" to an optional feature or modifying it to allow the installation of apps from stores other than the Play Store or the Galaxy Store. This would restore market balance and allow for open competition. It's also worth noting that Sweeney's statement came two days before Samsung's Galaxy Unpacked event, which begins on July 9. So we can't help but wonder if we'll learn any more information about it during the event.

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