It’s a huge court case that will finally put money back in people’s pockets
Google is set to pay out hundreds of millions of dollars to Android phone owners following a huge lawsuit.
And now exactly how much people can expect to pocket has been revealed, with the final figure for each person varying somewhat.
Back in 2020, a massive lawsuit was filed against tech giant Google by dozens of states in the USA. It accused Google of abusing the power it held over Android users’ access to apps on mobile devices.
The main issue was centred around the payment system that Google uses.
The tech beast was said to have made companies that develop games use the Google payment system for apps downloaded from the Play Store.
What was Google doing?
Businesses took issue with a percentage of the fee taken by Google, with Google charging 15% to 30% cuts on all transactions, according to Forbes.
Google settled on the case back in September 2023, with the company sharing details of the final agreement in the weeks after it struck a deal.
One measure taken by the business was to lower the cut taken by Google, with it now reduced to between 11% and 26% of the price.
It will also have to show different pricing options in the Play Store so that Android users can, if they so wish, pay for a product directly from the developer rather than through Google Play’s billing system. Essentially, this would bypass the cut given to Google.
How much is Google paying out?
A total of $700 million (£550 million) has been tabled by Google as compensation for Android users in the States.
But don’t expect buckets of cash to come your way.
With roughly 127 million Android users covered by the class-action case, we’re talking a very small slice of the pie for each person.
Some $630 million (£495 million) of the cash has been put to one side for individuals with $70 million (£55 million) shared between the US states that brought the case to court. But what does this mean when it comes to cold hard cash in your bank account?
What will the average Android user get?
According to the attorneys general of California, North Carolina, Arizona, Utah and Tennessee, the average pay out will be $4.41.
The most you’ll get will be $17.
And while low, it’s more than the initial payout that was mooted during proceedings, which it sitting at $2 in the settlement documents.
Those eligible are individuals who bought items from the Play Store between 16 August, 2016 and 30 September, 2023.
In a statement last December, Google said: “Android and Google Play have continuously evolved to provide more flexibility and choice in response to feedback from developers and regulators, as well as intense competition from Apple and app stores across the open Android ecosystem.
“We demonstrated this in the recent trial and were disappointed that the verdict did not recognise the choice and competition that our platforms enable.
“The details of a settlement reached in September with state attorneys general were filed publicly. This settlement builds on Android’s choice and flexibility, maintains strong security protections, and retains Google’s ability to compete with other OS makers, and invest in the Android ecosystem for users and developers.”
