Alphabet Inc.’s (NASDAQ:GOOG) (NASDAQ:GOOGL) Google is facing a new U.S. antitrust lawsuit after Aptoide accused it of stifling competition in Android app distribution and payments.
Aptoide Alleges Android Monopoly And Competitive Harm
On Tuesday, Portugal-based Aptoide filed a lawsuit in federal court in San Francisco, claiming Google has unlawfully monopolized Android app distribution and in-app billing systems, Reuters reported.
The company, which brands itself as an alternative Android app store, said Google’s practices have created an “anticompetitive chokehold” that limits rivals’ ability to compete.
Aptoide also alleged that Google steers developers toward its Play Store and other “must have” services, while restricting access to key apps and content that could help competing platforms grow.
Developer Costs, Market Access At Center Of Dispute
Aptoide said it offers lower commissions for developers and reduced costs for users but has suffered irreparable harm due to Google’s dominance.
The company claims developers are discouraged or prevented from distributing apps through alternative stores.
The lawsuit seeks an injunction to halt the alleged practices, along with unspecified triple damages under U.S. antitrust law.
Google did not immediately respond to Benzinga’s request for comments.
Part Of Broader Antitrust Pressure On Google
The search and advertising giant previously faced a high-profile antitrust challenge from Epic Games, the maker of Fortnite, which resulted in mandated changes to its app store policies.
Separately, a U.S. court has ruled that Google’s search business constitutes an illegal monopoly, ordering remedies including data-sharing with competitors.
Aptoide had also filed a complaint with EU regulators in 2014.
Price Action: Alphabet shares rose sharply Tuesday, with Class A closing at $332.91, up 3.63% and Class C ending at $330.58, up 3.56%, with both ticking higher in after-hours trading, according to Benzinga Pro.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo Courtesy: Markus Mainka on Shutterstock.com
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