Alphabet, Google's parent company, has agreed to pay a hefty fine of $700 million, with the majority allocated for compensation to Android device owners, following its involvement in a monopoly case. The fine, approximately Rp 10.8 trillion, stems from accusations of monopolizing app distribution through the Play Store, stifling competition in the market.
As part of the settlement, Google has pledged to implement changes to its Play Store service. Developers will now be permitted to use alternative payment systems, breaking Google's monopoly on payment processing. Additionally, Google will simplify the process of downloading apps directly from developer websites, granting users the freedom to obtain apps from sources outside the Play Store.
This settlement marks another legal setback for Google, adding to its ongoing legal challenges. The company has faced accusations of profiting excessively from app developers through high commissions on in-app purchases, as well as violations of competition laws in search engines and digital advertising.
While the settlement was reached in September, it was only recently announced, signaling Google's commitment to reforming its practices and enhancing competition in the app distribution market.
Alphabet has affirmed its dedication to improving the Android platform and Play Store services, ensuring alternative options for users and competitors. Despite the fine, Google remains optimistic about the future of its operating system and app store, stating, "We are pleased to have reached this agreement."