Google Play settlement will establish a $90 million fund to compensate US app developers, more

This evening, Google announced that it had reached an agreement with a group of US developers over the Play Store that would largely create a $90 million fund.

This case from 2020 in the US District Court for the Northern District of California was brought by the law firm Hagens Berman, which was also in charge of Apple’s related Small Developer Assistance Fund litigation from 2021.

In accordance with the settlement, a $90 million fund will be established to assist American developers that generated two million dollars or less in revenue from Google Play annually between 2016 and 2021.

Google

The vast majority of American developers who received income from Google Play will be qualified to receive funds from this fund, according to AA2. Some class members will probably receive compensation in the tens of thousands, possibly even $200,000 or more.

In addition, Google would promise to

Publishing yearly transparency reports for the Google Play Store that include statistics on account closures, apps removed from the store, and other user interaction information Up until at least May 2025, Plays will preserve its 15 percent commission rate for the first $1 million in annual revenue and will maintain the modifications made to Android 12 that make it simpler to use third-party app stores. establishing a section for independent and small startup developers who are producing exceptional, high-quality apps. On the front page of Google Play in the United States, it will appear under the apps tab. modifying the Developer Distribution Agreement to allow developers to continue contacting consumers outside of the app to advise them about subscription offers, cheaper options available on a competing app store, or the developer’s website. Developers who meet the requirements will be informed and given permission to receive a distribution from the fund if the court approves this settlement.

Each class member will receive a minimum payment of $250, and additional distributions up to and including $200,000 will be made pro rata.
Hagens Berman
Google stated that while it was confident in our claims and case, it wished to avoid protracted and disruptive litigation.

We’re happy that we collaborated with the developers to submit this proposal for court approval. We remain confident in our arguments and case, as stated in the agreement, but this settlement will prevent needless and drawn-out litigation with developers, whom we view as crucial participants in the Android ecosystem. We continue to be unwavering in our dedication to creating flourishing, open platforms that empower users and promote developer success.

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