UK Class Action Accuses Google of Overcharging 20 Million Consumers

Google is facing a class action lawsuit in the UK, accused of overcharging Android app developers for over a decade, which allegedly led to inflated prices on the Play Store for approximately 20 million British consumers.

The legal claim, filed at the Competition Appeal Tribunal in London, argues that Google’s 30% fee on digital purchases violated competition law. If successful, affected consumers could receive a payout of £1.2 billion ($1.6 billion), according to the lawyers representing them.

In court filings, the lawyers stated, 'Free of competitive shackles, Google has exploited its market strength to extract unfair prices to the detriment of users and generated extraordinary returns for almost two decades.' Google has denied the allegations, calling for the claim to be dismissed and arguing that it does not hold a dominant position in the market for digital content transactions.

The lawsuit comes amid heightened global scrutiny of app stores, with Apple Inc. also facing regulatory challenges. The UK’s Competition and Markets Authority has previously identified Apple and Google as holding a duopoly in the mobile platforms market. The EU has imposed fines on both companies, including a €1.8 billion penalty against Apple in 2024 for stifling competition and a €430 million fine against Google this year for restricting app developers from steering users to cheaper purchase options.