EU forces Google to change terms - Company facilitates developers' access to alternative markets
Alphabet announced it will make it easier for app developers to direct customers to channels other than Google, a move that comes after accusations from the European Union's competition authority that it violated EU rules.
In March, Google was hit with two charges of violating the Digital Markets Act, a key EU law aimed at limiting the power of big tech companies.
Since early 2024, the company has been under the European Commission's scrutiny for allegedly restricting app developers from informing users about offers outside the Google Play app store. The tech giant is also accused of favoring its own search services like Google Flights.
Regulators say Alphabet is technically preventing developers from freely directing consumers to other channels for better deals. They also pointed out that the service fee the company charges for facilitating developers' acquisition of new customers through Google Play is higher than the norm.
In a blog post, Google said that after discussions with the European Commission, developers and other experts, it is updating some of the terms.
"While we remain concerned that these changes could expose Android users to harmful content and degrade the app experience, we are updating our EU Foreign Offerings Program with revised fees and more options for Android developers, following discussions with the European Commission," the official sources said in a statement.
The company, which has been fined over 8 billion euros by the EU for various violations of competition law, risks penalties of up to 10% of its global annual revenue if found guilty of violating the Digital Markets Act.
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