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Google to launch third-party app stores next week after Epic settlement withdrawn

Created at 15 Jul · 5:06 PM1 source↑ Market-relevant
IN SHORT

Google will begin distributing rival app stores on Google Play next week following the withdrawal of its settlement with Epic Games. This decision stems from an antitrust battle over app store fees and distribution practices.

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Key Numbers

30 percentapp store cut disputed by Epic
July 22date for third-party app store distribution
$5,000annual fee for third-party app store review
1 percentmalware threshold for app store removal

Who's Involved

Google
to distribute third-party app stores on Google Play
Epic Games
withdrew settlement with Google
Judge James Donato
presided over antitrust case and settlement
Dan Jackson
Google Trust and Reputation Communications Lead
Nancy Rose
MIT economics professor who provided expert analysis
Google to launch third-party app stores next week after Epic settlement withdrawn

↳ Why This Matters

This development fundamentally alters the distribution landscape for Android apps, potentially reducing Google's revenue from the Play Store and increasing competition among app marketplaces. It signifies a victory for Epic Games and a shift in how software will be accessed on the Android platform.

Key facts

  • Google will start distributing third-party app stores on Google Play on July 22.
  • This change follows the withdrawal of a settlement between Google and Epic Games.
  • The court found Google guilty of anticompetitive practices in its app store management.
  • Third-party app stores will have default access to the full Google Play app catalog.
  • Google will charge an annual fee of $5,000 for security and compliance review of these stores.

Google is set to launch third-party app stores on Google Play next week, a significant shift resulting from the withdrawal of its settlement with Epic Games. The original antitrust lawsuit stemmed from Epic's challenge to Google's 30% fee on in-app purchases, particularly for V-Bucks in Fortnite.

Google was found to have engaged in anticompetitive conduct by discouraging device makers from promoting alternative app stores and obscuring such practices. Judge James Donato's remedies included lower fees and, crucially, the placement of alternative app stores directly within Google Play to ensure fair access, countering Google's entrenched market position.

While Google and Epic initially announced a settlement in late 2025 that removed direct Play Store distribution for rival stores, this modification faced skepticism from Judge Donato. An expert analysis from MIT professor Nancy Rose also suggested the settlement was unlikely to help competitors overcome network-effect disadvantages.

Following these developments, Google and Epic mutually agreed to withdraw their settlement motion. Google's legal team has informed the court that the company is prepared to begin distributing third-party app stores on July 22. These stores will gain default access to the full Google Play app catalog, though developers can opt out. Google will charge a $5,000 annual fee for security and compliance reviews, and approved stores must adhere to strict guidelines regarding malware and intellectual property.

Frequently asked questions

Google is launching third-party app stores on Google Play as a result of a court-ordered antitrust remedy following the withdrawal of a settlement with Epic Games.

The dispute centered on Google's 30% fee for in-app purchases and its alleged anticompetitive practices in managing the Android app distribution ecosystem.

Yes, under the court's injunction, these stores will have access to the full catalog of Google Play apps by default, though developers can opt out.

Approved stores must block malware, respect intellectual property, and include mechanisms for app updates and uninstalls. Google also charges a $5,000 annual fee for review.

What Happens Next

01Google will begin distributing third-party app stores on Google Play on July 22.
02Developers will have the option to opt out of distribution in these third-party stores.
03Google will continue to comply with the US Court's injunction.

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Cadence

How It Developed

Epic Games and Google initiated an antitrust lawsuit over a 30% cut on V-Bucks purchases.
Google was found guilty of anticompetitive conduct in managing the Android ecosystem.
A settlement between Google and Epic was announced, which included provisions for app store distribution.
Google proposed a Registered App Store program as an alternative to direct Play Store placement.
Judge James Donato expressed skepticism about the proposed settlement's market benefits.
Epic and Google agreed to withdraw their motion to modify the court's injunction.
Google will begin distributing third-party app stores in Google Play on July 22.
These stores will have access to the full catalog of Google Play apps by default.

Sources

T1
Third-party app stores coming to Google Play next week as Epic settlement withdrawnvar abtest_2163165 = new ABTest(2163165, 'impression');Ars Technica

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