Match Group, the company behind dating apps such as Tinder and OkCupid, has sued Google in the US state of California for alleged abuse of power within its Play Store. In that app store for Android phones, apps must process payments through Google’s checkout system.
As a result, according to Match Group, Google behaves like a monopolist because commissions have to be paid on those payments. For the same reason, the same company has already submitted a complaint to the Dutch supervisory authority, the Authority for Consumers & Markets (ACM).
“Ten years ago, Match Group was a partner of Google. Now we are held hostage,” the company wrote in the indictment. Match Group says Google was “blinded” by its ability to capture an increasing share of the billion-dollar revenue generated by apps through the Play Store.
ACM has opened a preliminary investigation into Google’s payment requirements in its Play Store following complaints from Match Group. Earlier, music streaming service Spotify criticized the mandatory use of Google’s payment service for apps. There is also growing pressure from American politics on Google and Apple, which impose similar requirements in their App Store. In addition, members of Congress are now examining proposals to force tech companies to change this revenue model.
Google states that using its own payment system within the Play Store is necessary for security. However, the company points out that other stores for apps are also available for the Android operating system. In addition, it is possible to place links in apps that refer to your own payment systems outside the Play Store. Google also reduced the commissions payable for its payment system for some apps from 30 percent to 15 percent of the billed amount.
