Alphabet, the parent company of Google, has agreed to pay a fine of $700 million, or approximately Rp 10.8 trillion, following its involvement in a monopoly case. The majority of this amount, reaching 90% or around $630 million, will be allocated for compensation to Android device owners. The remaining $70 million will go into the state treasury.
Google has also pledged to make changes to its app store service, the Play Store. In the future, developers will be allowed to use alternative payment systems, and Google will be prohibited from enforcing its payment system as the sole option for developers on the Play Store.
Furthermore, Google is required to simplify the process of downloading apps directly from developer websites. Users will have the freedom to download apps from sources outside the Play Store.
In the monopoly case reported by various groups in the United States, Google was found to have monopolized app distribution through the Play Store, which stifled healthy competition in the market.
This defeat adds to a series of legal challenges faced by Google. One notable case includes the legal battle against Epic Games, in which Google was found to be in violation.
Mobile game developers accused Google of profiting significantly from app developers by imposing high commissions on in-app purchases through the Google system.
Moreover, Google faced a lawsuit from the US Department of Justice for violating competition laws in search engines and digital advertising.
While the settlement in the Play Store monopoly case was reached in September, it was only announced recently.
Alphabet has promised that the operating system and Play Store will provide alternative options for users and competitors. Additionally, they will enhance the Android platform and its app store services.
"We are pleased to have reached this agreement," stated Google.