Petition for Writ of Certiorari — Google LLC, et al., Petitioners v. Epic Games, Inc., a Maryland Corporation
Supreme Court briefOct 27, 2025
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APPENDIX
TABLE OF CONTENTS
Page
APPENDIX A—Ninth Circuit’s Opinion
(July 31, 2025) (ECF No. 200) ............................ 1a
APPENDIX B—District Court’s Permanent
Injunction (Oct. 7, 2024) (ECF No. 1017)......... 67a
APPENDIX C—District Court’s Order re:
UCL Claim and Injunctive Relief (Oct. 7,
2024) (ECF No. 1016)........................................ 72a
APPENDIX D—District Court’s Order re:
Google’s Renewed Motion for Judgment
as a Matter of Law (July 3, 2024) (ECF
No. 984) ............................................................. 97a
APPENDIX E—Ninth Circuit’s Order
Denying Rehearing (Sept. 12, 2025)
(ECF No. 261) .................................................. 139a
APPENDIX F—Ninth Circuit’s Order
Denying Stay of Permanent
Injunction/Mandate (Sept. 12, 2024)
(ECF No. 262) .................................................. 141a
APPENDIX G—Trial Transcript – Volume
17 (Dec. 11, 2023) (ECF No. 867) (jury
instructions excerpts) ..................................... 147a
i
1a
APPENDIX A
_________
FOR PUBLICATION
_________
UNITED STATES COURT OF APPEALS
FOR THE NINTH CIRCUIT
_________
IN RE: GOOGLE PLAY STORE ANTITRUST LITIGATION
_________
EPIC GAMES, INC., a Maryland Corporation,
Plaintiff-Appellee,
v.
GOOGLE LLC; GOOGLE IRELAND, LTD.; GOOGLE
COMMERCE, LTD.; GOOGLE ASIA PACIFIC PTE, LTD.;
GOOGLE PAYMENT CORP.,
Defendants-Appellants.
_________
No. 24-6256
D.C. Nos. 3:21-md-02981-JD, 3:20-cv-05671-JD
_________
EPIC GAMES, INC.,
Plaintiff-Appellee,
v.
GOOGLE LLC; GOOGLE IRELAND, LTD.; GOOGLE
COMMERCE, LTD.; GOOGLE ASIA PACIFIC PTE, LTD.;
GOOGLE PAYMENT CORP.,
Defendants-Appellants.
_________
2a
Nos. 24-6274, 25-303
D.C. No. 3:20-cv-05671-JD
_________
Appeal from the United States District Court
for the Northern District of California
James Donato, District Judge, Presiding
Argued and Submitted February 3, 2025
San Francisco, California
Filed July 31, 2025
_________
Before: M. Margaret McKeown, Danielle J. Forrest,
and Gabriel P. Sanchez, Circuit Judges.
Opinion by Judge McKeown
_________
OPINION
_________
McKEOWN, Circuit Judge:
In the world of adrenaline-fueled survival that
epitomizes the video game Fortnite, winners are
decided in blazes of destruction and glory. By contrast,
the outcome of this case—centered on Fortnite’s
developer, Epic Games, and the Google Android
platform—turns on longstanding principles of trial
procedure, antitrust, and injunctive remedies.
In 2018, videogame developer Epic Games released
its immensely popular cross-platform game Fortnite
as a smartphone app. For two years, Epic sought to
distribute the game through direct mobile downloads
from its website and through Samsung’s Galaxy
3a
Store. In 2020, after Epic “realized that Google Play
was the only hope that [Epic] had for actually
reaching users,” Epic reluctantly decided to offer the
Fortnite app on both the Google Play Store (which
operates on the Android operating system) and the
Apple App Store (which operates on the iOS operating
system). Fortnite is offered as a free download; the
game generates revenue for Epic via players’ purchase
of special in-game features.
Shortly after Fortnite’s launch on the Apple App
Store and Google Play Store, Epic embedded secret
code into the app’s software so that players making inapp purchases would bypass the required paymentprocessing systems by which Apple and Google then
charged 30% commission. Epic dubbed these
circumvention efforts “Project Liberty,” part of its
ongoing—and soon highly publicized—protest against
mainstream app stores’ restriction of developers’ and
users’ choices for app distribution and in-app billing.
Almost immediately, Google and Apple removed
Fortnite from the Play Store and App Store for
noncompliance with their terms of service. Epic
responded by filing antitrust suits against both Apple
and Google. The two suits proceeded separately. The
suit against Apple was resolved in Apple’s favor.
Epic’s suit against Google followed. After a 15-day
trial involving 45 witnesses, the jury found that
Google had violated federal and state antitrust laws
in the markets for Android app distribution and
Android in-app billing services. The district court held
extensive post-trial proceedings and then entered a
permanent injunction against Google to restore
4a
market competition. We affirm the jury’s verdict and
uphold the district court’s injunction.1
Background
Smartphones have two key components: the
physical hardware and the operating system. The
operating system manages the interaction between
the phone’s hardware resources and separate
software applications (or “apps”) like TikTok and
WhatsApp. Google and Apple own two popular
operating systems: Android and iOS, respectively.
Apple’s iOS system is tied to the Apple hardware and
is designed to prevent independent modification,
creating a “walled garden.” By contrast, Google’s
Android system is publicly available and free for
anyone to access, modify, and distribute. Google itself
engineered and produced a line of smartphones that
run on the Android system. But in addition, Google
also licenses Android to hundreds of original
equipment manufacturers (“OEMs”) that make
smartphones. Companies like Samsung and Motorola,
for example, negotiate licenses to have Android preinstalled onto their products. As a result, Android
runs on a variety of smartphones that are not Googlebrand devices. All non-Apple smartphones sold
worldwide, excluding China, use Android.
1
In connection with these proceedings, we received amicus
curiae briefs from an array of interested parties, including
federal agencies, nonprofit organizations, corporations, and
professional associations. The briefs were helpful to our
understanding of this case, and we thank amici for their
participation.
5a
Apps are offered and installed separately from the
operating system. But an app can only be installed on
a device if it is compatible with that device’s operating
system. Thus, iOS apps work only on Apple iPhones
that run on iOS; Android apps work only on Android
smartphones. The applicable operating system
creates an “ecosystem” of app development,
distribution, maintenance, and security.
Google, in addition to owning and primarily
developing the Android operating system, owns and
operates the Google Play Store (“Play Store”), a
platform for distributing apps to Android users. The
Play Store has an enormous catalog of more than two
million apps. In two-sided markets like this one—
where Android users and Android app developers (the
“two sides”) rely on the platform as an intermediary
for user-developer transactions—the platform
benefits from significant network effects wherein “the
value of the services that a two-sided platform
provides increases as the number of participants on
both sides of the platform increases.” Ohio v. Am.
Express Co., 585 U.S. 529, 535 (2018). Users are
attracted to large catalogs, and developers are
attracted to large user bases.
Google magnified these network effects and
entrenched its dominant position in Android app
distribution by its intentional efforts to frustrate
users’ access to and use of alternatives to the Play
Store, such as developer websites as well as other
Android app stores.
Although an Android app developer can enable
potential users to download its apps directly from a
developer-specific website (“direct downloading” or, as
6a
Google refers to it, “sideloading”), Google’s Android
operating system creates “friction” that deters
Android users from completing downloads this way.
First, Android’s default settings disable direct
downloading. Even those users savvy enough to
change the default settings must then click through a
series of “scare screens”—sometimes as many as 14—
to complete a direct download. Some of these screens
notified the user that the app was being downloaded
from an “unknown source,” that the software could
harm their device, and that the user was taking
responsibility for any damage that might result from
completing the download. Android’s scare screens do
not reflect any security assessment of the intended
download sources; these screens appear whether the
intended download source is a trusted developer’s
website or a hypothetical “illstealyourinfo.com.” Thus
the “scare screens” operate as a deterrent to
downloading apps other than directly via the Play
Store.
Efforts to download Fortnite illustrate the practical
import of barriers erected by Google. Android users
had to successfully navigate more than 15 steps to
complete a direct download of Fortnite. Such “friction”
“degrad[ed] the quality of the download experience”
from websites like Epic’s. Epic found that, of the
Android users who initiated the process to download
Fortnite directly, 35% abandoned the process after
encountering Google’s “warning messages.”
In its dealings with OEMs, Google also sought to
obstruct access to alternative app stores. Google’s
mobile contract, the Mobile Application Distribution
Agreement (“MADA”), effectively required Android
7a
OEMs to preinstall the Play Store on the default home
screen of their smartphones. Google’s revenuesharing agreements with a “premier tier” of these
OEMs had the added effect of making the Play Store
the only preinstalled app store on their phones. And
Google’s proposal to Samsung, denominated “Project
Banyan,” would have compensated an especially
formidable OEM/app-distribution competitor to “drive
down” its app-distribution market share and turn the
Samsung Galaxy Store into a throughway for more
Play Store traffic. Samsung’s representatives
expressly understood that the purpose of “Project
Banyan” was to “[p]revent unnecessary competition
[with the] store.” As Epic’s expert testified about these
revenue-sharing arrangements, “these provisions,
this conduct, disincentivizes” OEMs from competing
with the Play Store.
When Epic suddenly posed a threat to the Play
Store’s dominance, Google went further still. In 2018,
Epic initially told Google that it would not be
introducing an Android version of Fortnite on the Play
Store. Google feared that the game’s off-Play launch
could “legitimize” another Android app store and
create “contagion” leading other software developers
to leave the Play Store. To defend against that
scenario, Google initiated Project Hug: a series of
special agreements with 22 top game developers,
including Activision (creator of the popular video
game Call of Duty), under which the developers
received cash payments and other benefits not to
launch on any Android app store other than the Play
Store.
8a
Network effects, default settings and scare screens
to deter direct downloads, plus strategic deals to limit
the use of alternative stores proved a potent cocktail:
As of 2020, the Play Store accounted for 95% of all
Android app downloads in the United States, and
more than 80% around the world (excluding China).
Google leveraged its significant market share in app
distribution to maximize its profits from the Play
Store. For instance, all developers offering apps on the
Play Store are required by a Developer Distribution
Agreement (“DDA”) to process in-app purchases using
Google Play Billing and pay a hefty commission on
nearly all in-app transactions.2 As of 2021, the Play
Store was turning a 71% operating profit.
Convinced that Google was abusing its power in the
Android app distribution and in-app billing markets,
Epic sued Google shortly after Fortnite was removed
from the Play Store in August 2020 for violations
under the Sherman Act, California’s Cartwright Act,
and California’s Unfair Competition Law (“UCL”).
Google counterclaimed for breach of the DDA.
Between 2020 and 2023, additional claimants—other
developers, consumers, and state attorneys general—
sued Google for antitrust violations. All these related
claims were consolidated into a single multidistrict
litigation.
In 2021, the district court decided that all jurytriable issues common to the parties’ legal and
2
Google originally set its 30% commission to match Apple’s
service fee. Seven months after Epic filed its lawsuit, Google
introduced programs that lowered the fee to 15% in limited
circumstances.
9a
equitable claims would be decided in a single jury
trial. In April 2023, the court set a November 2023
trial date. But, between April and November, every
plaintiff other than Epic settled, leaving for trial only
Epic’s antitrust claims for equitable relief and
Google’s counterclaims for damages. Epic’s UCL
claims were held for later ruling by the court, per the
parties’ joint submission.
On December 11, 2023, the jury returned a
unanimous verdict in favor of Epic. On the antitrust
claims, the jury found that Epic had proven the
relevant product markets for Android app distribution
and Android in-app billing services and a relevant
geographic market of “worldwide excluding China.”
And the jury found that Google violated both federal
and California antitrust law by willfully acquiring or
maintaining monopoly power in those markets,
unreasonably restraining trade, and unlawfully tying
use of the Play Store to Google Play Billing. Although
Google’s counterclaims for damages initially were
part of the trial, during trial the parties withdrew
these claims from the jury and later settled them.
Remedies proceedings followed the trial, with
extensive briefing and two evidentiary hearings. On
October 7, 2024, the district court entered a
permanent injunction and an explanatory order that
also resolved Epic’s UCL claim (“Order re: UCL Claim
and Injunctive Relief”). The three- year injunction
prohibits Google from providing certain benefits to
app distributors, developers, OEMs, or carriers in
exchange for advantaging the Play Store. It also
mandates that Google allow developers offering apps
on the Play Store to provide users with information
10a
about and access to alternative app billing, pricing,
and distribution channels.
Apropos of the claims, the injunction includes
“catalog sharing” and “app-store distribution”
provisions. The first requires that Google “permit
third-party Android app stores to access the Google
Play Store’s catalog of apps,” and the second requires
Google to allow “the distribution of third-party
Android app distribution platforms or stores through
the Google Play Store.” Google was given eight
months to comply with the catalog sharing and appstore distribution requirements. To review and
resolve any issues that arose during that
implementation process, the injunction also directed
the creation of a three-person Technical Committee
comprising members selected by both parties. Google
appeals both the liability verdict3 and the injunction.4
3
In addition to challenging antitrust liability, Google argues
that the UCL liability relies on the antitrust verdicts and thus
rises or falls with those claims. Not so. The UCL forbids not only
“unlawful” but “unfair” conduct, thus allowing for liability even
when there is a failure to prove an antitrust claim, as we held in
Epic Games, Inc. v. Apple Inc., 67 F.4th 946, 1001 (9th Cir. 2023)
(“Neither Apple nor any of its amici cite a single case in which a
court has held that, when a federal antitrust claim suffers from
a proof deficiency, rather than a categorical legal bar, the conduct
underlying the antitrust claim cannot be deemed unfair
pursuant to the UCL.”). Google’s attempt to tether the UCL claim
to the antitrust claims is “foreclosed by California law.” Id. at
1001. The UCL claim survives independently of any antitrust
liability.
4
Google filed a motion to stay the permanent injunction
pending appeal. The district court granted a partial stay pending
our resolution of that motion. The stay motion on appeal is
denied as moot in light of our decision.
11a
Analysis
We begin with Google’s claim, which we reject, that
the decision in the Epic v. Apple litigation precludes
Epic from defining the market differently in this case.
We then move to the jury issues, confirming that the
district court did not abuse its discretion in proceeding
with a single jury trial on Epic’s equitable claims and
Google’s damages counterclaims. Nor did the district
court abuse its discretion in declining to give a singlebrand aftermarket jury instruction or in its framing of
the Rule of Reason instruction. Finally, we affirm the
district court’s injunction, which was supported by the
jury’s verdict as well as the district court’s own
findings.
I. The Epic v. Apple Litigation Findings Are
Not Preclusive
Market definition is a central and hotly contested
aspect of nearly every antitrust case. Little wonder,
then, that the parties have diametrically opposed
views on this issue. Google claims that the relevant
market determination in Epic’s prior suit against
Apple binds Epic here, whereas Epic maintains that
there is no preclusive effect.
Reviewing de novo, we agree with the district court
that the market definition in Epic’s suit against Apple
is not preclusive in this litigation. Jacobs v. CBS
Broad., Inc., 291 F.3d 1173, 1176 (9th Cir. 2002)
(reviewing de novo district court’s determination of
preclusion). Google homes in on the finding in Epic v.
Apple that Apple and Google are competitors in the
market for “digital mobile gaming transactions.” See
Epic Games, Inc. v. Apple Inc., 559 F. Supp. 3d 898,
921 (N.D. Cal. Sept. 10, 2021), aff’d 67 F.4th 946, 981
12a
(9th Cir. 2023) (affirming on the issue of market
definition).5 That single determination, however, does
not preclude an independent analysis of the very
different relationship between Epic and Google, the
relevant submarket in the Android platform, or the
distinct market-definition issues in the two suits.
A. The Apple Litigation: Trial and Appeal
Filed on the same day as Epic’s case against Google,
Epic’s case against Apple proceeded first in time
before Judge Gonzalez Rogers in the Northern
District of California. The two parties offered
competing definitions of the relevant market, with
Epic arguing for Apple’s total monopoly power in “an
antitrust market of one,” and Apple proposing a
broader market including “all digital video games.”
Apple, 559 F. Supp. 3d at 921.
The district court ultimately ascertained a market of
“digital mobile gaming transactions.” Id. at 921, 954–
55, 1021–26. From there, the court found that Apple
exercised a “considerable” but not necessarily
monopolistic level of market power, in part because
the company had to compete with Google. Id. at 1030–
32. These determinations supported the conclusion
that Apple was not liable on any of the federal
5
Google’s issue-preclusion argument bookended its advocacy
before the district court. Before trial, the district court
determined that Google’s preclusion argument was untimely and
without “good cause excusing the delay.” The court emphasized
that the matter should have been raised on summary judgment
but concluded that issue preclusion was not appropriate in any
event. Google does not challenge these rulings on appeal.
Google’s timely post-trial motion under Rule 52 preserved the
preclusion issue.
13a
antitrust causes of action, though the court found that
Apple violated California’s UCL and entered an
injunction against Apple’s use of anti-steering
provisions to keep consumers from transacting
outside the App Store’s payment processing systems.
Id. at 1052–59.
Epic and Apple cross-appealed, and we affirmed on
all substantive issues. Apple, 67 F.4th at 966. Though
we agreed with Epic that the district court erred in
categorically rejecting its proposed iOS foremarket,
we deemed that error harmless in light of Epic’s
failure to demonstrate consumers’ lack of awareness
about the alleged aftermarket restrictions. Id. at 978,
979, 980–81. Importantly, “Apple offered nonpretextual,
legally
cognizable
procompetitive
rationales for its app-distribution and [billing]
restrictions.” Id. at 985. And, as we held, “[e]ven
assuming Apple has monopoly power, Epic failed to
prove Apple’s conduct was anticompetitive.” Id. at
999. Apple’s challenges to the UCL ruling and remedy
fell short. We further held that federal antitrust
doctrine did not preclude liability for anti-steering
provisions under state law; that the district court did
not clearly err in finding that Epic had suffered
irreparable harm; and that a nationwide injunction
did not constitute an abuse of discretion “because the
scope [wa]s tied to Epic’s injuries.” Id. at 1002–03. We
reversed only with regard to Epic’s contractual
obligations to pay attorneys’ fees. Id. at 1003–04.6
6
On April 30, 2025, the district court issued an order finding
that Apple had failed to comply with the injunction and that
“Apple’s continued attempts to interfere with competition will
not be tolerated.” Order Granting Epic Games, Inc.’s Motion to
14a
B. Issue Preclusion Requirements Are Not
Met
Google now seeks to preclude Epic’s suit in light of
the Apple judgment and decision. Issue preclusion
requires that “(1) the issue at stake was identical in
both proceedings; (2) the issue was actually litigated
and decided in the prior proceedings; (3) there was a
full and fair opportunity to litigate the issue; and (4)
the issue was necessary to decide the merits.” Love v.
Villacana, 73 F.4th 751, 754 (9th Cir. 2023) (citation
and internal quotation marks omitted). Google’s
preclusion argument fails at both the first and second
steps because the market definition question was
neither identical to the issue in this case nor litigated
and decided in Apple. The difference in the marketdefinition issues is the death knell for Google’s
argument.
It is well established that the relevant market “can
be determined only after a factual inquiry into the
‘commercial realities’ faced by consumers.” Eastman
Kodak Co. v. Image Tech. Servs., Inc., 504 U.S. 451,
482 (1992) (citing United States v. Grinnell Corp., 384
U.S. 563, 572 (1966)). This case-by-case inquiry
underlies the principle that relevant markets are not
independent, freestanding entities defined in a
vacuum. Our sister circuits recognize that “the nature
of the claim can affect the proper market definition”
and counsel that courts “remember[] to ask, in
defining the market, why we are doing so: that is,
what is the antitrust question in this case that market
Enforce Injunction, 4:20-CV-05640-YGR, 2025 WL 1260190, at
*1 (N.D. Cal. Apr. 30, 2025).
15a
definition aims to answer?” United States Healthcare,
Inc. v. Healthsource, Inc., 986 F.2d 589, 598 (1st Cir.
1993). Recently, we endorsed this principle in
concluding that the “market definition must be
relevant to the theory of harm at issue.” Teradata
Corp. v. SAP SE, 124 F.4th 555, 570 (9th Cir. 2024)
(internal quotation marks omitted).
It follows from the logic of Kodak and Teradata that
the market-definition issue in Epic’s two lawsuits was
not “identical” for the purposes of issue preclusion,
because Epic’s claims against Apple involved
meaningfully different commercial realities and
theories of harm from its claims against Google. In
short, we conclude that “the issue at stake” was not
identical in the two cases.
To begin, the commercial realities are different.
Apple’s “walled garden” is, as the district court in
Apple noted, markedly different from Google’s “open
distribution” approach. 559 F. Supp. 3d at 1036–40.
Google admits as much, noting that “Android’s open
philosophy offers users and developers wider choices”
than iOS does, even as that openness “limit[s]
Google’s ability to directly protect users from
encountering malware and security threats when they
download apps.” As a consequence of its business
model, Apple does not license iOS to other OEMs in
the way that Google licenses Android to Samsung,
Motorola, and other smartphone manufacturers.
Indeed, because Apple manufactures its own phones,
Apple effectively has no relationship with other
OEMs. Apple’s “walled garden” also creates different
dynamics in app distribution channels. Apple’s
iPhones do not support any third-party app stores,
16a
and iOS disables direct downloads of apps from the
web. See id. at 1005 (“Apple currently prevents direct
distribution from the web using technical measures.”).
The theories of harm in the two cases are also
different. Epic articulated theories of harm against
Apple that it did not bring against Google. Because
Apple vertically integrates its hardware, iOS
operating system, and app store, a consumer locked in
through any one part of the stack is, in effect, locked
into the entire system. Therefore, numerous Appleunique product features were relevant to Epic’s theory
of harm—from the “stickiness” of iMessage to the
overall “speed and reliability provided by iPhones”—
because those features increased consumers’
switching costs. Id. at 957–60 (“Apple’s evidence
strongly suggests that low switching between
operating systems stems from overall satisfaction
with existing devices, rather [than] any ‘lock-in.’”); see
also, e.g., 4:20-cv-05640-YGR, Dkt. #616 (Epic’s
opening statement), p. 11‒13. Epic also complained
that Apple’s agreements with developers precluded
Epic from distributing or creating third-party app
stores—conduct not at issue in the Google litigation.
At the time of trial, there were no competing app
stores on iOS.
The difference in the markets also led Epic to
articulate theories of harm against Google that were
not brought against Apple. For example, Epic alleged
that Google’s conduct—requiring OEMs to install
Google Play on the home screen of every device the
OEM makes—had harmed Epic. Because Apple does
not license its operating system to other OEMs, this
type of alleged anticompetitive behavior was simply
17a
not at issue in the Apple litigation. Epic also alleged
that Google made deals to keep other app stores off
OEMs’ home screens. Because Apple’s iPhones
preclude third-party app stores altogether, these
strategic dealings were not at issue. As Google’s
attorney articulated in a 2023 hearing before the
district court: “For . . . iPhones, there’s only one App
Store. There always has been only one App Store.
That’s not true in Android. So there’s a difference that
already exists, a fundamental difference, an
important difference for this case.” Nor—for much the
same reason—was there evidence in the Apple
litigation of alleged monopolistic agreements with app
developers to refrain from offering their apps on any
other app store, or evidence of Apple manipulating its
operating system to deter direct downloads.
These are not fringe issues. These are the issues that
formed the core of the market definition in each suit.
As the district court noted, “[Epic] took a wholly
different approach for the antitrust claims against
Google, and offered wholly different evidence about
relevant markets than that offered in the case against
Apple.” Even Google’s own digital markets expert did
not initially seek to define a market analogous, let
alone identical, to the one that Apple sought in Apple
or the market defined by the district court in that
case.
It is of little consequence that Apple and Google
were previously found to compete in the market for
“digital mobile gaming transactions” in the Apple
litigation. 559 F. Supp. 3d at 921. The Google trial
focused on gaming within the Android ecosystem.
That the markets in this case—for Android app
18a
distribution and Android in-app billing—overlap with
or may constitute submarkets of the “digital mobile
gaming transactions” market does not make them
identical markets. Recognizing distinctions between
overlapping markets is not “inherently contradictory.”
Olin Corp. v. FTC, 986 F.2d 1295, 1301 (9th Cir. 1993)
(establishing a relevant submarket for chemical
compounds was not inconsistent with a broader
market for pool sanitizers).
This framing also conforms to the real-world
experience of overlapping markets and submarkets.
For example, McDonald’s might compete against
Chick-fil-A in the fast-food market yet not compete
against Chick-fil-A in the hamburger fast-food market
(and instead compete with Wendy’s, Burger King,
Sonic, and In-N-Out Burger). Although Google and
Apple compete for mobile-gaming downloads and
mobile-gaming in-app transactions, they do not
compete in the Android-only app distribution and inapp billing markets, where Google competes against
Samsung, Amazon, and others.
Google’s argument is further at odds with Section 2
of the Sherman Act, which prohibits monopolization
of submarkets—“any part of the classes of things”
forming U.S. trade or commerce—as much as it
prohibits monopolization of broader markets. Ind.
Farmer’s Guide Publ’g Co. v. Prairie Farmer Publ’g
Co., 293 U.S. 268, 279 (1934) (emphasis added). As the
Department of Justice (“DOJ”) Antitrust Division and
the Federal Trade Commission (“FTC”) emphasize in
their amicus brief, “[j]ust because parties compete in
one market does not mean, as a matter of law, that
there cannot be a narrower or overlapping market in
19a
which the parties do not compete.” This lesson follows
Supreme Court guidance that “within [a] broad
market, well-defined submarkets may exist which, in
themselves, constitute product markets for antitrust
purposes.” Brown Shoe Co. v. United States, 370 U.S.
294, 325 (1962). To conclude otherwise would
effectively render a court’s definition of a given
market a universal ban on antitrust action in any
market within or overlapping that market. Consistent
with the Supreme Court’s interpretation of the
Sherman Act, we decline to hamstring antitrust
jurisprudence in this way.
At bottom, Google’s preclusion argument fails due to
the absence of an identical issue.7 The Apple litigation
involved market realities and theories of
anticompetitive harms that were separate and
distinct from those involved in this case. Epic’s
allegations against Google required an independent
analysis to determine the relevant market. And the
harm-specific market definition applicable here was
not “actually litigated” or “decided” in Apple. Love, 73
F.4th at 754.
7
Even if issue preclusion were available, we would review for
abuse of discretion the district court’s decision not to apply the
doctrine. SEC v. Stein, 906 F.3d 823, 828 (9th Cir. 2018). Despite
the parties’ heated debates over market definition, and the fact
that the appeal in Apple was decided on April 24, 2023, Google
waited until less than six weeks before trial to raise issue
preclusion. Given that expert testimony and other fact evidence
on the critical issue of market definition had been fully developed
by that time, this delay amply supports the district court’s
exercise of its discretion to decline application of issue
preclusion.
20a
II. Denying Google’s Motion to Bifurcate and
Holding a Jury Trial Was Not an Abuse of
Discretion
Throughout the litigation, both sides repeatedly
changed their positions on the availability and
propriety of a jury trial and whether the trial should
be bifurcated into separate jury and bench trials.
What remained constant was the district court’s
message that there would be one jury trial for all
common issues and that there was considerable
overlapping evidence on equitable and legal issues: “I
have said from Day One, there will not be multiple
jury trials. It’s going to be one and done for
everything.” Just before trial was set to begin, Google
asked for a bench trial on Epic’s antitrust claims but
maintained its demand for a jury trial on its
counterclaims. Google now claims the court erred in
holding a single jury trial. We conclude that the
district court did not abuse its discretion in declining
to bifurcate the trial and holding a combined jury trial
on both the legal and equitable issues.
A. The Winding Road to the Jury Trial
Epic’s complaint against Google sought only
injunctive relief. In response, Google filed contract
counterclaims seeking damages and demanded a jury
trial on all jury-triable claims. Epic’s Answer to
Google’s Counterclaims denied Google’s entitlement
to a jury trial.
During the discovery period, the parties had ongoing
discussions regarding the configuration of trial. For
example, as early as December 16, 2021, Epic
suggested it should have a partially separate trial
21a
from the other plaintiffs. The district court rejected
that approach.
The parties, which then included numerous
plaintiffs, eventually coalesced around the idea of a
jury trial on virtually all claims, including Epic’s
antitrust claims. In May 2023, the parties filed a Joint
Submission Regarding Trial Proposal agreeing “that
all claims by all Plaintiffs are triable to a jury” (except
for certain state law claims) and that Google’s
counterclaims against Epic should be tried to the
same jury. At this stage, the litigation included
plaintiffs like Match that, unlike Epic, sought
damages.
In July 2023, Epic and Match filed a motion to
bifurcate Google’s counterclaims and hold a separate
trial on those claims. Google opposed bifurcation,
arguing substantial overlap in evidence between its
counterclaims and its defenses against Epic’s
antitrust claims. Siding with Google, the district court
denied the motion to bifurcate.
Prior to October 2023, as the litigation rolled on,
some plaintiffs settled with Google. On October 12,
the States and the putative consumer class settled,
leaving only Match and Epic asserting claims against
Google. During a hearing that same day, Google
raised the prospect of a bench trial on Epic’s claims if
a settlement with Match was reached, though Google
reiterated its demand for a jury trial on its
counterclaims against Epic. The district court held a
pretrial conference on October 19 and, in its order on
October 20, confirmed the case would proceed by jury
trial, directing the parties to submit updated jury
instructions by October 25.
22a
On Halloween, less than two weeks later, Google
alerted the district court that it had settled with
Match. The district court immediately ordered
briefing on the impact of the settlement on the jury
trial. Google’s Statement on a Non-Jury Trial argued
for a bench trial on Epic’s claims and defenses. Google
also stated it had offered to consent to a bench trial on
its counterclaims, but Epic declined to consent. Given
Epic’s refusal, Google thus sought bifurcation,
arguing its counterclaims should be tried to a jury
first, followed by a bench trial on Epic’s claims. Epic
argued for a jury trial on its antitrust claims based on
Google’s implied consent, Epic’s reliance on Google’s
earlier representations regarding a jury trial, how
“factually intertwined” the antitrust claims were with
the jury-triable counterclaims, and the prejudice Epic
would face in altering its “ongoing preparation of its
case and witnesses” at the last minute. On November
2, 2023, the district court denied Google’s request for
bifurcation.
The jury trial began on November 6, 2023. The jury
heard evidence regarding both Epic’s antitrust claims
and Google’s counterclaims. However, during the final
stretch of trial, the parties stipulated that Epic had
violated the DDA agreement with the Play Store by
incorporating its own payment solution into Fortnite
during “Project Liberty” and therefore Epic owed
“$398,931.23 in fees that Google” would otherwise
have received. Thus, when instructed by the district
court on December 11, the jury was told not to
consider the counterclaims. On August 19, 2024, long
after the trial had concluded, Epic agreed to pay
Google to resolve the counterclaims.
23a
B. The District Court Had Discretion to
Deny the Motion to Bifurcate
Because Google’s counterclaims were headed to the
jury, but Google wanted Epic’s claims and defenses
tried to the bench, Google’s Statement on a Non-Jury
Trial is best construed as a motion to bifurcate. In
pressing for a bifurcated trial, Google urged that a
jury trial on Epic’s antitrust claims was improper
because Google had withdrawn consent to a jury on
those claims. That argument runs into several
roadblocks due to the intersection of three federal
rules of civil procedure: Rule 38(b)—Right to a Jury
Trial; Rule 39—Trial by Jury or by the Court; and
Rule
42(b)—Consolidation;
Separate
Trials.
Ultimately, under the circumstances here, Google’s
demand for a bench trial fails because its claims are
so factually intertwined with Epic’s equitable claims.
Under Rule 38(b), a jury trial demand may be made
“[o]n any issue triable of right by a jury.” Fed. R. Civ.
P. 38(b). At the outset of the case, Google made a
proper jury demand on its counterclaims under Rule
38. The counterclaims sought damages for alleged
breach of contract, making them quintessential legal
claims triggering the right to a jury. See Dairy Queen,
Inc. v. Wood, 369 U.S. 469, 477‒78 (1962). About six
months before trial, the parties jointly proposed that
all the plaintiffs’ federal claims and Google’s
counterclaims be tried to the same jury. Both Epic and
Google reiterated that position in the pretrial
conference, as reflected in the court’s October 20
pretrial order. That order confirmed a jury trial and
deadlines for submission of jury instructions.
24a
Having made a proper jury demand under Rule
38(b), Google was bound by the strictures of the rule.
Rule 38(d) provides that such a demand “may be
withdrawn only if the parties consent.” Fed. R. Civ. P.
38(d) (emphasis added). But here there was no
consent. Although Google sought at the last minute to
withdraw its demand for a jury and try its
counterclaims to the bench, Epic was within its rights
under Rule 38(d) to decline to consent to this change.
Though Google emphasizes that it withdrew its
consent to a jury trial on Epic’s antitrust claims, its
counterclaims against Epic for damages remained
subject to the earlier jury demand. Importantly, the
operative question under the federal rules is whether
a jury trial has been demanded for a particular issue.
Fed. R. Civ. P. 38(b) (“issue triable of right by a jury”),
(c) (“may specify the issues”), 39(a) (“all issues so
demanded”), (b) (“jury trial on any issue”), (c) (“try any
issue by a jury”). Although Rule 39(a) suggests that,
once a jury demand is made, the entire action is to be
docketed as a “jury action,” it also clarifies that a jury
trial will be held on the “issues so demanded,” and
that the court can decline a jury demand as to any
issues on which it finds there is no right to a jury on
“some or all of th[e] issues.” Fed. R. Civ. P. 39(a); see
also Fed. R. Civ. P. 39(b) (providing that even where a
jury demand is not made, the court may “order a jury
trial on any issue for which a jury might have been
demanded”). Holistically, the civil rules implement
the constitutional right to jury trial on a claim-byclaim basis. See Fed. R. Civ. P. 38 advisory
committee’s note to 1937 amendment (stating Rules
25a
38 and 39 preserve the Seventh Amendment right to
a jury).8
Confronted with a jury demand on the
counterclaims, which presented issues closely
intertwined with Epic’s antitrust claims, the district
court faced a choice about how to proceed. And its
decision is reviewed in part for its conformity to the
“usual practice” under the federal rules, a principle
recently reiterated by the Supreme Court: “when a
factual dispute is intertwined with the merits of a
claim that falls under the Seventh Amendment, that
dispute should go to a jury.” Perttu v. Richards, 605
U.S. ----, No. 23-1324, 2025 WL 1698783, at *6 (U.S.
June 18, 2025). Addressing an affirmative defense
“intertwined” with the merits, the Court harkened
back to Dairy Queen, Inc., in which “the district judge
8
Google’s citation to cases stating a party can unilaterally
withdraw its consent to a jury trial under Rule 39(c)(2)—which
assumes an action not triable of right by a jury—is inapposite,
given Google’s jury demand on the issues underlying both its
counterclaims and Epic’s antitrust claims. Additionally, in each
of the cases cited by Google, by the time of trial, all that remained
were equitable issues. See FN Herstal SA v. Clyde Armory Inc.,
838 F.3d 1071, 1089 (11th Cir. 2016) (“When no right to a jury
trial exists and where no prejudice will result, a party may
unilaterally withdraw its consent to a jury trial.”); Kramer v.
Banc of Am. Sec., LLC, 355 F.3d 961, 968 (7th Cir. 2004)
(allowing a defendant to withdraw consent when there was no
right to jury trial); CBS Broad., Inc. v. EchoStar Commc’ns Corp.,
450 F.3d 505, 517 n.25 (11th Cir. 2006) (concluding it was not
reversible error to strike a jury trial demand days before trial
where the plaintiffs sought purely equitable relief and no legal
claims remained in the case). That was not the posture here,
where there were equitable claims, legal claims, and a jury trial
demand on factual issues underlying both sets of claims.
26a
erred in refusing . . . [a] demand for a trial by jury”
where the plaintiff brought legal and equitable claims
based on “common” “factual issues.” 369 U.S. 469, 479
(1962). As the Court held in Beacon Theaters, the right
to have a jury decide legal issues cannot be
compromised by a court first deciding equitable
issues, absent extraordinary circumstances. 359 U.S.
500, 510 (1959). This principle is salient to our reading
of the federal rules and of the district court’s decision
here to follow “the usual practice of the federal courts
in cases of intertwinement” and “send common issues
to the jury.” Perttu, 2025 WL 1698783, at *10.
This was a classic case of intertwinement. The
factual issues underlying Google’s legal counterclaims
overlapped and intertwined extensively with the
factual issues underlying Epic’s equitable antitrust
claims. Google itself had previously taken the position
that it would “present much of the same evidence” on
its counterclaims as it would in “defending against
Plaintiffs’ antitrust case.” This evidence included
Google’s justifications for requiring the use of Google
Play Billing for all developers offering apps on the
Play Store, as well as the “trust and safety concerns”
motivating “the notifications and consent screens that
are displayed when users attempt to” directly
download apps “rather than download them from an
app store.” Google argued that its counterclaims
turned on the same facts regarding in-app billing and
app-distribution that were the underpinning of Epic’s
antitrust claims. In Google’s words, “the factual
overlap between the counterclaim evidence and the
antitrust claims” was “extensive.”
27a
Most prominently, Epic’s illegality defense to
Google’s counterclaims centered on the issues of
whether Google’s contracts had violated the antitrust
laws
and
whether
had
sufficient
procompetitive justifications for its conduct. These
same issues were at the core of Epic’s antitrust claims.
The district court’s decision thus fully conformed with
the “usual practice” outlined in Perttu and Dairy
Queen.
Again, the district court was thus presented with a
decision on the eve of trial: to bifurcate and hold two
trials—deciding in a bench trial those issues that were
not jury-demanded—or send Epic’s antitrust claims
together with Google’s counterclaims to the jury.
(Despite Google’s opposition to a jury hearing Epic’s
antitrust claims, Google never asked for the jury to be
advisory only—under Rule 39(c)(1)—to address its
concern: it was bifurcation or bust.)
Rule 42(b) permits, but does not require, separate
trials “[f]or convenience, to avoid prejudice, or to
expedite and economize.” Fed. R. Civ. P. 42(b). It has
long been the case that while “[t]he jury and nonjury
issues may be tried separately . . . . that is not required
. . . . The matter is within the trial court’s discretion
as long as the order of trial is arranged so that it
preserves the jury right on the jury triable issues.”
Wright & Miller, Fed. Prac. & Proc. § 2337; see also
Beacon Theatres, 359 U.S. at 508‒10 (noting the trial
court’s discretion to arrange cases so long as the jury
right is preserved); Ammesmaki v. Interlake S. S. Co.,
342 F.2d 627, 631 (7th Cir. 1965) (“A single trial tends
to lessen delay, expense, and inconvenience. The
granting of separate trials rests in the discretion of
28a
the trial judge. Rule 42(b) obviously is not mandatory.
For this reason [defendant] cannot now be heard to
complain about the district court’s denial of the
motion for separate trials.”). By sending all the issues
to a jury, the district court ensured that no jury right
was jeopardized—and simultaneously managed the
trial in the spirit of economy.
Trial bifurcation is a question soundly within the
district court’s judgment: “We review for abuse of
discretion the district court’s rulings on whether to
bifurcate a trial,” and “we usually affirm a trial judge’s
decision.” Huizar v. City of Anaheim (Estate of Diaz),
840 F.3d 592, 601 (9th Cir. 2016) (citation omitted).
The district court was well within its discretion to
deny bifurcation because of the overlap in factual
disputes raised by the counterclaims and antitrust
claims explained above. The court’s decision is
supported by Google’s own representations. In its
earlier opposition to bifurcation, Google argued that
Match and Epic failed to “carry their burden to show
that bifurcation would promote efficiency.” The
district court agreed with Google that bifurcation was
unwarranted and thus found it “particularly
significant” that on the eve of trial Google made a
complete about-face to argue for bifurcation, after
having “expressly represented to the Court that the
facts underlying plaintiffs’ antitrust claims and
Google’s counterclaims overlap in substantial
measure” only a few months before. Google never
explains what facts changed to suddenly invert the
equation and render bifurcation most efficient. Fed. R.
Civ. P. 42(b) (allowing bifurcation “to expedite and
economize”). And Google would be hard pressed to
29a
offer a credible justification: the focus of the antitrust
claims and Epic’s illegality defense to the
counterclaims centered on many of the same facts and
arguments.
By the time of trial, the litigation had long proceeded
on the understanding that a single trial would take
place, to which both Epic and Google had explicitly
agreed. And the district court declined to conduct
separate proceedings on the parties’ claims because it
concluded that Google did not effectively withdraw its
prior consent to a jury trial on Epic’s equitable claims.
We do not need to address this additional withdrawalof-consent issue. The district court’s ultimate decision
was consistent with “the usual practice of the federal
courts in cases of intertwinement.” Perttu, 2025 WL
1698783, at *10. For that reason, we conclude that the
district court did not abuse its broad discretion in
denying Google’s request to bifurcate.
III. The District Court Did Not Err in
Instructing the Jury
A. A Jury Instruction on Single-Brand
Aftermarkets Was Not Warranted
This case was never framed by either party as
involving single-brand aftermarkets. So, it is no
surprise that the district court declined to instruct the
jury on this principle when Google raised it well into
trial. Although we review de novo whether a jury
instruction accurately states the law, “whether an
instruction should be given in the first place depends
on the theories and evidence presented at trial” which
“is mostly a factual inquiry” that “we typically review
. . . for abuse of discretion.” United States v. Heredia,
483 F.3d 913, 921 (9th Cir. 2007). Under either
30a
standard, the district court did not err in declining to
give the proposed instruction.
A single-brand aftermarket is a market in which a
consumer is “locked in” with a single brand and
“demand for a good is entirely dependent on the prior
purchase of a durable good in a foremarket.” Apple, 67
F.4th at 976 (emphasis removed). The seminal
example comes from Kodak, where once customers
purchased Kodak photocopiers or other equipment in
the foremarket, they were “locked in” to an
aftermarket of Kodak parts and servicing. 504 U.S. at
476.
Google requested a jury instruction explaining the
burdens a plaintiff must carry9 to prove a single-brand
aftermarket. But a single-brand aftermarket theory
was not presented at trial. Not only did Epic never
argue for single-brand aftermarkets, but Google also
never framed the market this way. Instead, Google’s
expert testified, “what this market is about is that app
developers and app users want their . . . digital
interactions[] to go well.” As the district court pointed
out, “[n]obody in this case . . . has said a word about
it, including [Google’s] own experts . . . none of your
experts . . . said a peep about a proposed relevant
market being based on a for[e]-market and after9
“[T]o establish a single-brand aftermarket, a plaintiff must
show: (1) the challenged aftermarket restrictions are ‘not
generally known’ when consumers make their foremarket
purchase; (2) ‘significant’ information costs prevent accurate lifecycle pricing; (3) ‘significant’ monetary or non-monetary
switching costs exist; and (4) general market-definition
principles regarding cross-elasticity of demand do not undermine
the proposed single-brand market.” Apple, 67 F.4th at 977.
31a
market theory.” Because that theory lacks a
“foundation in the evidence,” Google was not entitled
to the instruction. Heredia, 483 F.3d at 922. It was
also “within the district court’s discretion to refuse to
give the requested instruction because the instruction
could have confused the jury.” Cascade Health Sols. v.
PeaceHealth, 515 F.3d 883, 917 (9th Cir. 2008).
The same evidentiary void sinks the proposed
instruction under de novo review. Regardless of the
parties’ framing or terminology, the facts presented at
trial do not meet the legal definition of a single-brand
aftermarket so as to warrant Google’s proposed
instruction. The foremarket of durable goods in this
case would be the market for smartphones that run
the Android operating system. The “undisputed
evidence showed at trial” that these durable goods
“are manufactured by many companies, including
Google, Samsung, Motorola, OnePlus, Xiaomi, and
other OEMs.”
Multiple brands are also at play in the aftermarkets
for app distribution and in-app payments on Androidcompatible smartphones. The district court
summarized that “[s]ubstantial evidence was
presented at trial that multiple Android app stores
can be, and on occasion have been, available to
consumers.” Indeed, “Google’s efforts to suppress rival
app stores” like Samsung’s Galaxy Store, and
maintain Play Store dominance, were a focal point
during trial. Because Google licenses the Android
operating system directly to OEMs rather than
consumers, and because Play Store alternatives exist
for Android app distribution and in- app payments,
the reality is that consumers might not transact with
32a
Google in either the foremarket or aftermarket,
making it difficult to argue that they are “locked in”
to that brand.
By contrast, Apple’s vertical integration made it a
strong candidate for a single-brand aftermarket
theory, as Epic explicitly argued in the Apple
litigation. 67 F.4th at 978. Consumers using iOS have
necessarily purchased an Apple product (i.e., iPhone)
from Apple and are then locked into a “walled garden”
with Apple’s App Store. In that litigation, however,
Epic failed to meet the burden imposed on plaintiffs
asserting a single-brand aftermarket, including
proving that consumers were unaware of aftermarket
restrictions. Id. at 980–81. Google now argues for
imposing those same burdens here in hopes of
receiving the same result, but we are comparing Apple
to oranges: Epic never argued for a single-brand
Google aftermarket, nor does Android operate the
same way as Apple.
Advocating for single-brand aftermarkets is another
attempt by Google to flatten the entire Android
ecosystem into one brand that competes against one
other brand—Apple. But the crux of this case is
Google’s anticompetitive conduct vis-à-vis many
different brands within the Android ecosystem. Given
that the markets for Android app distribution and inapp payment systems are not single-brand
aftermarkets, and no such theory was proposed by
either party during trial, the district court did not err
in denying Google’s request for a single-brand
aftermarket instruction.
33a
B. The Rule of Reason Does Not Require
Consideration
of
Procompetitive
Benefits Across Markets
In its effort to cast this case as a Google-versusApple struggle for market share, Google tries to
sidestep the focus of the case presented to the jury,
namely that Google improperly monopolized and
restrained trade within the Android app markets.
This theme resurfaces in another jury instruction
dispute. It has long been understood that “the Rule of
Reason is the presumptive mode of analysis” for both
Section 1 and Section 2 of the Sherman Act. Irving
Scher & Scott Martin, Antitrust Adviser § 2:12 (5th ed.
2023). The rule requires the plaintiff to first show the
challenged conduct had an adverse effect on
competition and then considers whether any
procompetitive
benefits
are
outweighed
by
anticompetitive effects. Id. Google argues that the
jury instruction for Rule of Reason Step 2 improperly
limited the jury’s consideration of procompetitive
benefits of the challenged conduct to the “relevant
market,” instead of allowing the jury to also consider
related markets.10 Yet again, Google’s concern is that
its competition with Apple should have been a focus
10
Google also argues the instructions improperly allowed the
jury to balance pro- and anticompetitive effects at Step 3 of the
Rule of Reason, rather than proceeding to a fourth Step. But
“Google acknowledges that [our precedent in Apple] forecloses
this argument before [this] panel.” See also 67 F.4th at 993–94
(“Supreme Court precedent neither requires a fourth step nor
disavows it” and the Rule of Reason steps are not a “rote
checklist.”). The district court did not err in its balancing
instruction.
34a
for the jury, despite Epic defining Android-only
markets.
Specifically at issue is an instruction directed only
to the Section 2 Sherman Act (monopolization) claim.
If the jury determined at Step 1 of the Rule of Reason
that Epic proved Google’s conduct caused substantial
harm to competition in a relevant market, then the
jury should decide “whether Google has justified its
conduct by proving that its conduct was reasonably
necessary to achieve competitive benefits for
consumers in that relevant market.” We review de
novo whether that jury instruction accurately states
the law. Spencer v. Peters, 857 F.3d 789, 797 (9th Cir.
2017) (quoting Wilkerson v. Wheeler, 772 F.3d 834,
838 (9th Cir. 2014)).
To begin, it is not settled case law that a jury is
required to consider cross-market procompetitive
benefits when conducting Rule of Reason analysis. In
Apple we concluded that “[t]he Supreme Court’s
precedent on this issue is not clear,” citing cases going
both ways, and noting that “[o]ur court’s precedent is
similar” and “we have never expressly confronted this
issue.” 67 F.4th at 989. Google itself acknowledges
that “the Supreme Court has recently indicated that
the question [of cross-market procompetitive
justifications] remains open,” citing National
Collegiate Athletic Association v. Alston, 594 U.S. 69,
87 (2021), where the Court “express[ed] no views” on
the issue. Id. Because consideration of cross-market
competitive benefits is an open question and not an
established legal requirement, it was not error for the
district court to exclude it from the jury instruction.
35a
In any event, should the Supreme Court ultimately
impose such a rule, any error in the instruction was
harmless. See Swinton v. Potomac Corp., 270 F.3d
794, 805–06 (9th Cir. 2001) (holding that reversal is
not warranted where “the error is more probably than
not harmless.”) (citation omitted). Throughout trial,
Google presented the position that its restrictive
practices were justified by its competitive battle with
Apple. The Section 1 Sherman Act (restraint of trade)
instruction imposed no limit on procompetitive
considerations in other markets. It would be illogical
to divine that the jury would have viewed the
monopolization claim differently than it viewed the
restraint-of-trade claim, on which the jury found
against Google. See FTC v. Qualcomm Inc., 969 F.3d
974, 991 (9th Cir. 2020) (Rule of Reason analysis
“essentially the same” for the two claims). Jury
instructions must be reviewed “as a whole.” Skidmore
v. Led Zeppelin, 952 F.3d 1051, 1065 (9th Cir. 2020)
(en banc). Under that standard, given the jury’s
verdict and the strength of the evidence, any claimed
error was harmless.
IV. The Permanent Injunction Is Valid
Following the jury’s verdict on December 8, 2023,
the district court commenced post-trial proceedings
that allowed each side “a virtually unlimited
opportunity to present its views about the scope and
content of an injunction.” Epic submitted a proposed
injunction; Google responded with its objections; and
the court extensively queried both parties and their
many fact and expert witnesses. After two evidentiary
hearings, twenty written submissions from the
parties, and vigorous argument by counsel, the court
36a
entered a permanent injunction and issued findings of
fact and conclusions of law in a separate order, which
was supplemented by the court’s earlier denial of
Google’s JMOL motion.
A. The Injunction’s Provisions
The injunction balances Epic’s proposals to remedy
the antitrust violations against Google’s concerns
about overbreadth, security, and implementation.
Adopting a nationwide scope and halving Epic’s
proposed six-year timeline to a period of three years,
the injunction commenced on November 1, 2024, and
extends for three years to November 1, 2027.11
The
court’s
order
began
by
prohibiting
anticompetitive arrangements that insulated the Play
Store and Google Play Billing from competition. The
injunction prohibits Google from sharing Play Store
revenue with actual or prospective entrants in the
Android app-distribution market, just as Google
earlier sought to compensate Samsung with “Project
Banyan” to “[p]revent unnecessary competition”
between the Samsung Galaxy Store and Play Store.
The injunction next prohibits Google from engaging
counterparties in restrictive deals that condition
payment or access to the Play Store on (1) an
agreement to launch apps first or exclusively on the
Play Store, or (2) an agreement to preinstall the Play
Store and not any other app store in any specific
location on an Android smartphone. Finally, the
11
Only one of the injunction’s provisions—prohibiting Google
from paying smartphone manufacturers not to preinstall Play
Store competitors on their devices—has taken effect. All other
provisions were stayed pending appeal.
37a
injunction prohibits Google from continuing to require
Google Play Billing for all apps distributed on the Play
Store. The district court explained that these
remedies
“closely
track
the
evidence
of
anticompetitive conduct at trial.” On appeal, Google
does not directly challenge these prohibitions on
anticompetitive arrangements, though it folds them
into its broader attacks on the factual findings and
Epic’s standing to seek a nationwide injunction.
In addition to these restrictions on Google’s prior
anticompetitive conduct, the injunction also seeks to
restore competition in the Android app-distribution
market with the catalog-access and app-storedistribution remedies. The catalog-access remedy
requires Google to “permit third-party Android app
stores to access the Google Play Store’s catalog of
apps,” so that competing app stores can offer users a
comparable library of software products. On the other
side of the market, the app-store-distribution remedy
forbids Google from banning “third-party Android app
distribution platforms or stores through the Google
Play Store,” so that the same platforms can access
Android smartphone users who are currently
accustomed to downloading all their apps through the
Play Store. Together these provisions allow other app
stores to compete in this two-sided market by letting
them offer the apps and reach the users on the Play
Store platform. The district court gave Google an
eight-month timeline to develop the systems needed
to comply with both the catalog-access and app-storedistribution remedies. Responding to Google’s
concerns about the safety of products offered on the
Play Store, the injunction permits Google to adopt
38a
“reasonable measures” and charge “a reasonable fee .
. . based on Google’s actual costs” to ensure user
security and privacy.
Finally, anticipating disputes over implementation,
the court ordered the formation of a three-person
Technical Committee composed of one member
selected by Epic, another member selected by Google,
and a third member selected by those two
representatives. In the event of a disagreement,
Google bears the burden of showing that its technical
requirements are “strictly necessary to achieve safety
and security for users and developers.” The district
court maintains control, since any unresolved issues
are to be referred to the court. We uphold the
injunction in full.
B. The District Court Had Broad Discretion
to Craft the Antitrust Injunction
Google raises a number of objections to the
injunction. “Because ‘[a] district court’s decision to
grant a permanent injunction involves factual, legal,
and discretionary components,’ we evaluate such a
decision under three different standards of review.”
Scott v. Pasadena Unified Sch. Dist., 306 F.3d 646,
653 (9th Cir. 2002) (citation omitted). “[W]e review
factual findings for clear error, legal conclusions de
novo, and the scope of the injunction for abuse of
discretion.” United States v. Wash., 853 F.3d 946, 962
(9th Cir. 2017) (citing id.).
Equitable relief in private antitrust actions is
governed by Section 16 of the Clayton Act, which
grants that “[a]ny person, firm, corporation, or
association shall be entitled to . . . injunctive relief . . .
against threatened loss or damage by a violation of the
39a
antitrust laws.” 15 U.S.C. § 26. Though “caution is
key,” Alston, 594 U.S. at 106, the Supreme Court has
repeatedly endorsed the principle that district courts
are “clothed with ‘large discretion’ to fit the decree to
the special needs of the individual case”—not just to
“unfetter a market from anticompetitive conduct,” but
also to “pry open to competition a market that has
been closed by defendants’ illegal restraints.” Ford
Motor Co. v. United States, 405 U.S. 562, 573, 577–78
(1972) (cleaned up). These equitable powers animate
Section 16, because “the purpose of giving private
parties . . . injunctive remedies was not merely to
provide private relief, but was to serve as well the high
purpose of enforcing the antitrust laws.” Zenith Radio
Corp. v. Hazeltine Rsch., Inc., 395 U.S. 100, 130–31
(1969). As a result, Epic “need only demonstrate a
significant threat of injury from an impending
violation of the antitrust laws or from a contemporary
violation likely to continue or recur,” and the district
court may “restrain acts which are of the same type or
class as unlawful acts which the court has found to
have been committed or whose commission in the
future unless enjoined, may fairly be anticipated from
the defendant’s conduct in the past.” Id. at 130, 132
(citation omitted).
Echoing the Supreme Court’s guidance, we recently
concluded that where a defendant has been found to
violate federal antitrust laws, “the available
injunctive relief is broad, including to ‘terminate the
illegal monopoly, deny to the defendant the fruits of
its statutory violation, and ensure that there remain
no practices likely to result in monopolization in the
future.’” Optronic Techs., Inc. v. Ningbo Sunny Elec.
40a
Co., 20 F.4th 466, 486 (9th Cir. 2021) (citation
omitted). Enacting extensive Section 16 relief requires
a “clear indication of a significant causal connection
between the conduct enjoined or mandated and the
violation found.” Optronic, 20 F.4th at 486 (cleaned
up); 3 Phillip E. Areeda & Herbert Hovenkamp,
Antitrust Law ¶ 653b, at 92 (1996). Importantly, “the
reviewing court only asks if the relief is a reasonable
method of eliminating the consequences of the illegal
conduct.” Optronic, 20 F.4th at 486 (cleaned up).
We start our analysis with Google’s challenges to the
two remedies directed at unwinding the consequences
of Google’s anticompetitive conduct: catalog access
and app-store distribution. As part of our discussion
of these remedies, we also address Google’s objections
to the formation of the Technical Committee. Then, we
proceed to Google’s broader efforts to vacate the entire
injunction and contest its nationwide effect. 12 In
recognition of the discretion historically afforded to
the entry of equitable antitrust remedies, we conclude
that the injunction should be affirmed.
C. Catalog Access
We begin with the catalog-access approach to
restoring competition in Android app distribution. We
12
Beyond contesting the injunction’s factual basis, geographic
scope, and Epic’s Article III standing, Google does not challenge
the district court’s prohibitions on its prior anticompetitive
arrangements. Because the district court clearly outlined its
factual and legal bases for concluding that anticompetitive
conduct had occurred and acted within its authority to “restrain
acts which are of the same type or class as unlawful acts which
the court has found to have been committed,” we conclude that
those measures survive review. Zenith Radio, 395 U.S. at 132.
41a
agree with the FTC and DOJ that our review must
account for “the particular characteristics of digital
markets, which can allow monopolists that achieved
or maintained dominance through exclusionary
conduct to perpetuate entry barriers and maintain
monopoly power long after that conduct has stopped.”
Given these realities, we recognize the district court’s
“large discretion” to meet the “special needs” of the
case, which must include the nature of the market.
Ford Motor, 405 U.S. at 573, 577–78 (cleaned up).
The district court repeatedly emphasized that the
catalog-access remedy is intended to ameliorate
consequences “intertwined with the network effects”
that Google has enjoyed as a monopolist in a two-sided
platform market. Specifically, the court cited evidence
about the Play Store’s advantaged position between a
critical mass of app developers and a critical mass of
app users, quoting directly from Google’s internal
presentations that “Users come to Play because we
have by far the most compelling catalog of
apps/games”; “Developers come to Play because that’s
where the users are”; and even formidable
competitors like “Amazon will struggle to break those
network effects.’” As the district court explained, the
catalog-access remedy seeks to “overcome” the Play
Store’s illegally amplified network effects by “giv[ing]
rival stores a fair opportunity to establish themselves”
with a competitive catalog of software applications.
The provision temporarily opens up the Android appdistribution market, by giving app stores a three-year
window to access the singular catalog that Google
accumulated and leveraged during the Play Store’s
dominance of the market. As the district court put it,
42a
“[a]ll that the catalog access does is level the playing
field for a discrete period of time so that rival app
stores have a fighting chance of getting off the
ground.”
Google objects to the catalog-access provision on the
grounds that (1) it illegally imposes a duty-to-deal
requirement “to design new products and services
tailor-made for [Google’s] competitors”; and (2) it
imposes that requirement without identifying a
“significant
causal
connection”
to
Google’s
anticompetitive conduct.
Neither of these challenges carries the day, and
together they misconstrue our longstanding
deferential approach to equitable antitrust remedies.
In light of the digital two-sided market at issue, the
remedy represents “a reasonable method of
eliminating the consequences of [Google’s] illegal
conduct” that we must affirm as the reviewing court.
Optronic, 20 F.4th at 486 (quoting Nat’l Soc’y of Pro.
Eng’rs v. United States, 435 U.S. 679, 698 (1978)).
1. No Impermissible Duty to Deal
To start, it is not true that courts cannot and have
never compelled antitrust defendants to deal with
rivals, notwithstanding Google’s attempt to
characterize catalog access as an impermissible “duty
to deal.” Google’s reliance on the Supreme Court’s
Trinko decision for the proposition that “forced
sharing” creates “tension with the underlying purpose
of antitrust law” is misplaced. Verizon Commc’ns. Inc.
v. Law Off. of Curtis v. Trinko, LLP, 540 U.S. 398,
407–08 (2004). That case addressed the question of
whether a unilateral refusal to deal with rivals
violates Section 2 of the Sherman Act—not the
43a
legality of compelling a defendant already found liable
under that statute to deal with its competitors. We
accept Trinko’s lesson that a single entity’s decision
not to deal with competitors can be legal under the
Sherman Act, but it is well established that antitrust
remedies can and often must proscribe otherwise
lawful conduct to unwind and further prevent
violators’ anticompetitive activity. See, e.g., Nat’l Soc’y
of Pro. Eng’rs, 435 U.S. at 697–98 (“In fashioning a
remedy, the District Court may, of course, consider
the fact that its injunction may impinge upon rights
that would otherwise be constitutionally protected,
but those protections do not prevent it from
remedying the antitrust violations.”). No wonder,
then, that the Court in Ford Motor affirmed an order
forcing Ford not only to divest an illegally acquired
spark-plug manufacturer, but thereafter to “purchase
one-half of its total annual requirement of spark plugs
from the divested plant.” 405 U.S. at 572. More
recently, in Optronic, we also upheld an order
requiring a telescope manufacturer to service a
designer and marketer of telescopes on nondiscriminatory terms. 20 F.4th at 486–87. These cases
underscore that, after establishing liability, the
district court had within its basket of remedial powers
the authority to require Google to deal with parties
harmed by its anticompetitive conduct, including its
competitors.
Google tries to differentiate these previously upheld
injunctions by claiming that the district court
improperly ordered Google to “design new products”
(emphasis added), rather than “sell existing
products.” As a practical matter, this argument
44a
mischaracterizes what exactly the catalog-access
remedy asks Google to do—which is to allow app-store
developers to access existing data and data-processing
resources that, until now, Google restricted the
developers from accessing.13 Google is not being asked
to develop a new product or service from scratch.
Notwithstanding its complaints about the burden of
implementing the catalog-access remedy—i.e., in
having “to create entirely new infrastructure to serve
as the backend administrator for any number of thirdparty app stores”—the record confirms that Google
can make the existing Play Store’s app catalog
available to other app stores at a cost of under $1
million, by using existing metadata servers and
technical procedures. 14 As Epic’s expert explained,
13
Google’s purported distinction between having to offer
“existing” and “new” services appears to reflect the distinction
between prohibitory injunctions (seeking to preserve the status
quo) and mandatory injunctions (requiring parties to perform
certain acts). But the Supreme Court has expressly declined to
read such a distinction into the scope of equitable relief available
under Section 16. Cal. v. Am. Stores Co., 495 U.S. 271, 279–84
(1990) (observing that prior decisions have “upheld injunctions
issued pursuant to § 16 regardless of whether they were
mandatory or prohibitory in character”). That the district court
simply required Google to configure its services differently is a
permissible form of relief. Id. at 283 (citing Silver v. N.Y. Stock
Exch., 373 U.S. 341, 345, 365 (1963) (reinstating judgment
compelling defendants to install private wire connections)).
14
The court extensively questioned experts from both parties
about the so-called “Alley Oop” process that Google has already
made available to select developers. That scalable process
“embed[s] a button that will enable the installation of an app
from the Play Store” in a way that could conform to the demands
of the catalog-access remedy. Google’s expert did not contest that
“they already have mechanisms to put that in place.”
45a
“Google already has the catalog data on hand stored
in an accessible server.” Google’s expert not only
agreed with the practicability of modifying these
systems—“I’m not disputing the feasibility”—but also
offered
a
six-to-nine-month
estimate
for
implementation, in keeping with the injunction’s
eight-month timeline.
2. Significant Causal Connection
Google also objects that the district court committed
a legal error by failing to make a specific finding that
“the
company’s
competitive
advantage—here,
network effects—would have existed even without the
anticompetitive conduct.” Google highlights its firstmover status in the Android app-distribution market
to claim that some of the Play Store’s network effects
must owe to “that lawful advantage,” rather than any
illegal conduct. Neither we nor the district court
discount this argument. Nonetheless, it fails.
First, initial innovation notwithstanding, a first
mover is “not entitled to maintain and magnify” the
relevant network effects by entrenching its dominance
through anticompetitive conduct.
Second, Google misconstrues the responsibility of
the district court. The district court was obligated to
ensure only that the conduct enjoined or mandated by
the catalog-access provision (here, Google’s technical
and contractual exclusion of other app-store
developers from the Play Store) had a significant
causal connection to “the violation found” (here, the
creation or maintenance of a monopoly). Optronic, 20
F.4th at 486 (emphasis added) (quoting United States
v. Microsoft Corp., 253 F.3d 34, 105 (D.C. Cir. 2001).
The district court fulfilled that obligation when it
46a
stated: “[T]he question is whether Google engaged in
anticompetitive conduct that had the consequence of
entrenching and maintaining its monopoly power in a
two-sided market. The jury answered that question in
the affirmative.” Optronic does not require that an
injunction only touch the consequences of a
defendant’s conduct. Rather, it asks for a “reasonable
method” of redressing problems with a “significant
causal connection to that conduct.” Id. As the district
court pointed out, Google is barking up the wrong tree.
Likewise, Google’s objection that the catalog access
provision lacks a significant causal nexus falls short.
The court plainly stated: “Google unfairly enhanced
its network effects in a way that would not have
happened but for its anticompetitive conduct.” This is
an unambiguous finding of a “significant causal
connection” between Google’s illegal conduct and the
strength of the network effects benefiting Google in
the app-distribution market. Id. at 486 (citation
omitted).
Google does not argue that the district court clearly
erred in its factual findings on causation. For good
reason. The record was replete with evidence that
Google’s anticompetitive conduct entrenched its
dominance, causing the Play Store to benefit from
network effects. The district court established that, as
Google “erect[ed] barriers to insulate the Play Store
from competition,” it did so with the awareness that
“to get more developers, Amazon needs more users.”
Google was specifically interested in preventing
Amazon from “break[ing] those network effects.” Its
anticompetitive conduct was forward-looking, with
the purpose—and ultimately the consequence,
47a
according to the jury’s verdict—of preserving the
market dominance that led to those network effects.
The court’s citations to Google’s own internal
communications illustrate how “benefits from
network effects” motivated and flowed from
anticompetitive
activity
“entrenching
and
maintaining” the Play Store’s dominant position in a
two-sided market. Far from a “plainly weak” causal
relationship, 3 Areeda & Hovenkamp, Antitrust Law
¶ 653c4, at 97, the record demonstrates substantial
support for the district court’s finding that Google’s
anticompetitive conduct caused the creation or
maintenance of its monopoly power and “unfairly
enhanced” the relevant network effects.
Once the court established, based on the trial
evidence, that network effects were among the
consequences of Google’s anticompetitive conduct, the
court was permitted to shape relief targeted to those
effects. Section 16 authorizes courts to “deny to the
defendant the fruits of its statutory violation.”
Optronic, 20 F.4th at 486 (quoting Microsoft Corp.,
253 F.3d at 103). The network effects that resulted
from Google’s entrenchment of the Play Store in the
two-sided app-distribution market are among those
fruits. Because the catalog-access remedy ultimately
offers a “reasonable method” of counteracting the Play
Store’s dominance and reducing the network effects it
enjoys by temporarily lowering barriers to entry, we
uphold that provision. Optronic, 20 F.4th at 486
(citation omitted).
D. App-Store Distribution
The district court’s injunction also restricts Google
from “prohibit[ing] the distribution of third-party
48a
Android app distribution platforms or stores through
the Google Play Store,” in direct response to Google’s
practice of freezing other app stores out of the Play
Store and barring them from users. Google is still
entitled to charge a “reasonable fee” for any
“reasonable measures” it takes to ensure that the app
stores distributed on its platform “are safe from a
computer systems and security standpoint, and do not
offer illegal goods or services . . . , or violate Google’s
content standards.”
Google raises the same two challenges here as it did
with respect to the catalogue-access provision—that
the district court exceeded its authority, and that it
failed to make a causation finding. For the same
reasons discussed above, we disagree with Google’s
causation argument. And for many of the same
reasons as the catalog-access provision, we hold that
the app-store-distribution remedy was within the
district court’s authority.
In its discussion about Google’s “unfairly enhanced”
network effects, the district court laid bare how
market entrants faced hurdles on both ends of the
two-sided market for Android app distribution. The
yin and yang of this symbiotic relationship locked
other app stores out of the Play Store, while app
developers and users were locked in. Google knew that
competitors would “struggle” not just because “their
catalog of apps/games is very limited,” but also
because “they don’t have users.” That is why Google
worked in various ways to keep users tied to the Play
Store, by making it difficult to download apps outside
of the platform and by engaging OEMs to install the
Play Store as the default app store on Android
49a
smartphones. It also explains why the court sought to
“undo the consequence of Google’s ill-gotten gains” on
that side of the market, by giving competitors a
chance to reach users now anchored to the Play Store.
As the explanatory order put it, app-store
distribution “lower[s] the barriers for rival app stores
to get onto users’ phones by enjoining Google from
prohibiting the presence of rival app stores in the
Google Play Store.” The remedy enables this
intervention while still permitting Google to charge a
“reasonable fee” for any security measures that are
“comparable to the measures Google is currently
taking for apps proposed to be listed in the Google
Play Store.” Taken together, the district court’s
approach represents a “reasonable method of
eliminating the consequences of [Google’s] illegal
conduct” on the user side of the Android appdistribution market, just as the catalog-access remedy
did on the developer side. Optronic, 20 F.4th at 486
(quoting Nat’l Soc’y of Pro. Eng’rs, 435 U.S. at 698). So
again, we affirm.
Google’s complaints about these “duties to deal” are
even less convincing here than in the context of the
catalog- access remedy. By ordering Google to allow
rival app stores from Amazon, Samsung, or any other
competitor onto the Play Store, the injunction only
compels that Google treat those software products the
same way that it treats other products already offered
on the platform. “App stores are themselves just a
type of app,” as Epic notes, and some third-party app
stores were already carried on the Play Store before
Google updated its terms to have them excluded.
Though Google may decry the inconvenience of having
50a
to design “new protocols” to address the security risks
of carrying app stores, its own expert conceded that
Google would be able to meet these difficulties with
the same technological criteria it uses for other thirdparty software applications already on the Play Store.
Google offers an additional challenge to the appstore- distribution remedy’s pricing clause, which
provides: “Google may require app developers and app
store owners to pay a reasonable fee” for its security
procedures. Google asks that we follow our decision in
Image Technical Services v. Eastman Kodak to modify
the provision about “reasonable prices” and require
only “nondiscriminatory pricing.” 125 F.3d at 1195,
1225 (9th Cir. 1997). This argument is unconvincing
because there our intervention was motivated by a
concern about Kodak’s intellectual property assets
and its attendant “right to earn monopoly profits.” Id.
Google cannot explain why it is similarly “entitled” to
charge supracompetitive prices for security reviews.
Id. While Google seeks to transform Kodak into a
“legal
rule”
that
prohibits
“direct
price
administration,” it overlooks Kodak’s recognition that
pricing is “generally [i.e., not always] considered
beyond our function.” Id. (emphasis added). Indeed,
the Supreme Court has expressly approved
“reasonable” pricing restrictions in remedial orders.
See, e.g., United States v. Glaxo Grp. Ltd., 410 U.S. 52,
62 (1973) (requiring defendant “to grant patent
licenses at reasonable-royalty rates”); Int’l Boxing
Club of N.Y., Inc. v. United States, 358 U.S. 242, 261,
255 (1959) (affirming a “compulsory leasing provision”
requiring defendants to lease their premises for a “fair
and reasonable” rental rate); United States v. Nat’l
51a
Lead Co., 332 U.S. 319, 349–50 (1947) (affirming
decree ordering defendants to grant patent licenses
for a “reasonable royalty,” reasoning, “that conception
is one that already has been recognized both by
Congress and by this Court”).
We conclude that the district court not only acted
within its discretion to mandate a “reasonable fee,”
but also chose the right price level to ensure the procompetitive function of the app-store distribution
remedy. Whereas Kodak determined that the
modified, “nondiscriminatory pricing” would work just
as well to keep the defendant in that case from
harming competitors and charging exorbitant fees,
here that standard could still allow Google to keep
third-party app stores off the Play Store by charging
them all the same unreasonably high price. Id. at
1225. The FTC and DOJ warn against this possibility
in their amicus brief, where they argue that the
reasonable-fee provision “plainly prevents Google
from undermining the decree by charging rival app
stores exorbitant rates that could undermine their
competitiveness.” Google objects that it has “no
established history of [] abusing the pricing of [its
security procedures] to restrain trade,” but that does
not answer the question whether it could
instrumentalize that price lever in the future, when
Google is enjoined from excluding third-party app
stores simply as a matter of policy.15
15
Google’s counsel was queried at oral argument and offered
no procompetitive reason why a non-discriminatory pricing
restraint would be workable, where a reasonable one would not.
Oral
Argument
at
1:00:20
(No.
24-6256),
ca9.uscourts.gov/media/video/?20250203/24-6256/.
52a
The Supreme Court put this point bluntly: “The
District Court is not obliged to assume, contrary to
common experience, that a violator of the antitrust
laws will relinquish the fruits of [its] violation more
completely than the court requires.” Int’l Salt Co. v.
United States, 332 U.S. 392, 400 (1947). As Epic
explains, “Google has not been and does not want to
be in the business of carrying app stores at all.” So
now that the jury found Google liable for restraining
trade through other means, it falls squarely within
the district court’s discretion to “ensure that there
remain no practices likely to result in monopolization
in the future.” Optronic, 20 F.4th at 486 (citation
omitted). Because that discretion encompasses the
power to craft “forward-looking” restraints like the
reasonable-fee provision, and because that provision
enhances the restorative and pro-competitive effect of
the app-store-distribution remedy without causing
undue harm to Google or its business, it survives our
review. Mass. v. Microsoft Corp., 373 F.3d 1199, 1215
(D.C. Cir. 2004).
E. Rule 65 Vagueness and the Technical
Committee
We next consider whether the injunction meets the
procedural requirements of Rule 65(d), which sets out
that every injunctive order must: “(A) state the
reasons why it issued; (B) state its terms specifically;
and (C) describe in reasonable detail . . . the act or acts
restrained or required.” Fed. R. Civ. P. 65(d)(1). We
follow the Supreme Court’s guidance in considering
whether the injunction provides “fair and precisely
drawn notice of what the injunction actually
prohibits.” Fortyune v. Am. Multi-Cinema, Inc., 364
53a
F.3d 1075, 1087 (9th Cir. 2004) (emphasis removed)
(quoting Granny Goose Foods, Inc. v. Bhd. of
Teamsters, 415 U.S. 423, 444 (1974)). However, and in
keeping with the statutory requirement for
“reasonable detail,” we do not set aside injunctive
provisions “unless they are so vague that they have no
reasonably specific meaning.” United States v.
Holtzman, 762 F.2d 720, 726 (9th Cir. 1985). Here, on
de novo review, the district court’s injunction easily
clears that bar.
Google also invokes Rule 65 in objecting to the
district court’s decision to set up the framework for a
Technical Committee, contending that (1) these
injunctive provisions leave open too many questions
about compliance, and (2) the Technical Committee is
an inappropriate mechanism for clearing up those
ambiguities. We disagree on both counts. The district
court not only used clear language to put Google on
notice of “what the injunction actually prohibits,”
Fortyune, 364 F.3d at 1087, but in the remedy also
took additional pains to establish a reasonably clear
process for “review[ing] disputes or issues relating to
[] technology and processes.”
1. Catalog
Access
and
App-Store
Distribution are Clear Remedies
We attend first to the terms of the challenged
remedies. The catalog-access remedy states that
“Google will permit third-party Android app stores to
access the Google Play Store’s catalog of apps so that
they may offer the Play Store apps to users.” This
language articulates the reason for the order (i.e., so
third-party app stores “may offer the Play Store apps”)
and explains in plain terms what Google is “restrained
54a
or required” to do. Fed. R. Civ. P. 65(d)(1). For those
downloads that will be processed by Google Play,
Google must “permit users to complete the download”
of apps available only on the Play Store “on the same
terms as” if that download were made directly from
the platform. Google must “provide developers with a
mechanism for opting out of inclusion in catalog
access for any particular third-party Android app
store.” And Google must develop “the technology
necessary to comply with this provision” within eight
months. Rather than identify any ambiguity
rendering the catalog-access provision “too vague to
be enforceable,” Del Webb Cmtys., Inc. v. Partington,
652 F.3d 1145, 1150 (9th Cir. 2011), Google points to
outstanding questions about app-store “eligibility
criteria” and technological implementation, such as
“what metadata . . . Google must make available” and
“how often to refresh that data.” These practical
specifics go well beyond the “reasonable detail”
required by Rule 65(d), since the district court need
not “elucidate how to enforce the injunction” or
“provide [Google] with explicit instructions on the
appropriate means to accomplish this directive.”
Fortyune, 364 F.3d at 1087. The injunction provides
details that stem from the evidence, and the district
court cannot be expected to give Google a cookbook on
the specifics of complying with the injunction. Were
the court to take that approach, Google would squawk
that the injunction was too overbearing.
The same necessary detail can also be found in the
app-store distribution remedy. That provision sets
forth in clear terms that “Google may not prohibit the
distribution of third-party Android app distribution
55a
platforms or stores through the Google Play Store,”
but allows Google to take “reasonable measures to
ensure that the platforms or stores, and the apps they
offer, are safe from a computer systems and security
standpoint.” Google objects that it does not know
which app stores fall within the scope of the order or
what “technical and content requirements” may be
imposed. But what is it about “third-party Android
app distribution platforms or stores” that Google
doesn’t get? The parties intimately understand what
the injunction covers, and a quick review of the
remedial hearings reveals the backdrop in
excruciating detail.16 Again, Google’s desire for extra
detail does not demonstrate that the app-storedistribution remedy is missing so much information
as to have no “reasonably specific meaning.”
Holtzman, 762 F.2d at 726 (citation omitted). The
provision gives fair notice that Google cannot turn
away app-distribution platforms that meet its
technical requirements, and that those technical
requirements must be benchmarked against existing
ones (i.e., by making them “comparable to the
16
The language that Google complains about in the app-store
distribution remedy actually reflects the district court’s
concession to Google’s position, where there was much discussion
about whether technical security procedures for third-party app
stores should differ from those already in place for other thirdparty apps. Epic pushed for consistency between how Google vets
Android app stores on and off the Play Store; Google insisted, “we
would want the level of safety for these third-party app stores to
be [] close to the Google Play safety.” The injunction adopts
Google’s stance by allowing “reasonable measures to ensure that
the platforms or stores, and the apps they offer, are safe,” so long
as they are “comparable to the measures Google is currently
taking for apps.”
56a
measures Google is currently taking for apps”). That
level of “reasonable detail” meets the specificity
requirements set forth by Rule 65(d).
2. The Technical Committee is Proper
The injunction’s directive to form a three-person
Technical Committee does nothing to compromise the
integrity of the catalog-access and app-storedistribution remedies. The Technical Committee
offers a helpful resource to attend to the “nuts-andbolts issues” that Google raises in this challenge,
which the district court identified as too “granular” for
the injunction and beyond its level of technical
expertise. The Technical Committee is hardly a
backstop for the injunction. It comports with federal
courts’ long history of utilizing appointed experts and
provides a process to review and resolve inevitable
disputes between the parties—ideally without further
need for judicial intervention.
This arrangement is not at all uncommon in
disputes that demand a high degree of specialized
knowledge, as this one certainly does, and both we and
our sister circuits have sanctioned the appointment of
technical advisors and special masters. See, e.g., A&M
Recs., Inc. v. Napster, Inc., 284 F.3d 1091, 1097 (9th
Cir. 2002) (upholding injunction under Rule 65 and
deeming proper the district court’s use of a technical
advisor); Ass’n of Mexican-Am. Educators v. Cal., 231
F.3d 572, 590 (9th Cir. 2000) (“In those rare cases in
which outside technical expertise would be helpful to
a district court, the court may appoint a technical
advisor.”); Chi. Bridge & Iron Co. v. FTC, 534 F.3d
410, 441 (5th Cir. 2008) (endorsing FTC divestment
order that “carefully” appointed a third-party monitor
57a
“to determine how assets must be divided to effectuate
the order and its general remedial purpose”). One
court reviewing the establishment of such a
committee observed that “the Government’s ability to
enforce the decree is clearly strengthened, not
diminished,” by that body. Microsoft Corp., 373 F.3d
at 1244.
Google’s assertion that “no U.S. court has ever
imposed a technical committee by judicial fiat” is a
fiction, as is its suggestion that the district court’s
Technical Committee “violates not just Rule 65, but
basic principles of Article III adjudication.” The
Supreme Court upheld a similar arrangement in
Besser Manufacturing Co. v. United States, another
monopolization case. 343 U.S. 444, 447–48 (1952).
There, against defendants’ objection that the
injunction “deprive[d] them of their property without
due process,” the Court affirmed the district court’s
use of a committee to fix royalty rates for patent
licenses. Id. at 448. The committee structure
paralleled that of the Technical Committee here,
being composed of members selected by each party,
plus an additional member selected by those
members. Id. What’s more, just as the district court in
that case retained its authority to resolve any
“deadlock,” id. at 449, the district court has done so
here by acknowledging that “[i]f the Technical
Committee cannot resolve a dispute or issue, a party
may ask the Court for a resolution.” 17 We are
17
The injunction also curtails the Technical Committee’s
power to “extend any deadline set in this order,” allowing only
that it “may recommend that the Court accept or deny a request
to extend.”
58a
confident that the district court has not abdicated its
Article III function, and we see no reason to depart
from Besser’s assessment that this kind of
arrangement represents an “entirely reasonable and
fair” mechanism for dispute resolution. Id. Nor does
supplementing the injunction with the Technical
Committee undermine the sufficiency of the catalogaccess and app-store-distribution remedies under
Rule 65.
F. Sufficient Factual Findings Underlie the
Injunction
Having addressed the arguments targeted
specifically at the catalog-access and app-storedistribution remedies, we turn to Google’s attempt to
vacate the entire injunction. Google disputes the
factual findings underlying the remedy, using that
frame to gather various claims that the district court:
(1) failed to explain why it did not impose less
burdensome contractual restrictions; (2) declined to
consider Google’s settlement agreement with the
States; and (3) overlooked the security and
intellectual property interests of non-parties.
Before addressing each of these claims, we reiterate
that our standard of review for factual findings is
clear error. Wash., 853 F.3d at 962. We also add that
there is little precedent for this sort of factual-basis
challenge, in that injunctions have been modified or
vacated for reasons related to specific factual matters,
but rarely due to insufficient findings alone.18 Here,
18
For example, in the trademark case La Quinta Worldwide
LLC v. Q.R.T.M., S.A.de C.V), we vacated an injunction after
holding that a factual omission “le[ft] us uncertain whether the
district court considered all relevant factors in assessing the
59a
though, there is no oversight resulting in a “clear error
of judgment.” La Quinta, 762 F.3d at 879 (citation
omitted). The district court based its determinations
on a vast record built throughout the trial and
remedial hearings, and the injunction reflects due
consideration of “all relevant factors.” Id. at 880.
Again, we emphasize that the district court
conducted extensive proceedings before issuing the
injunction and the accompanying order. Courts
crafting Section 16 relief are “usually in a superior
position to appraise and weigh the evidence,” and this
case is no exception. Zenith Radio, 395 U.S. at 123
(reviewing factual findings under the appropriate
“clearly erroneous” standard and reversing the
appellate court’s decision to set aside parts of a trebledamage award). In addition to the jury’s specific
findings on liability under Sherman Act Section 1,
corresponding to paragraphs four through ten of the
injunction, the district court supported the liability
verdict with further findings of fact and law in the
JMOL order. The court also gave the parties ample
opportunity to state and refine their positions on the
appropriate remedy. Over several months, the court
reviewed Google’s “blunderbuss of comments and
complaints” in 90-plus pages of objections to the
proposed injunction. The court also held evidentiary
hearings with the parties’ experts; received
balance of hardships.” 762 F.3d 867, 880 (9th Cir. 2014). There,
the court failed to weigh a key consideration related to the
circumstances in which the parties would be able to continue
doing business under their names in the United States and
Mexico. Google points to no analogous absence of factfinding
here.
60a
statements from the parties’ economists, technology
experts, and engineers; accepted an amicus brief from
the FTC; and heard closing arguments on the remedy.
We pay heed to all this evidence—and the district
court’s proximity to it.
1. The Contractual Restrictions Need No
Further Explanation
Google’s first complaint about unduly burdensome
contractual restrictions is without merit. The thrust
of Google’s argument is that the district court failed to
explain why it did not adopt certain modifications
proposed by Google and did not consider ways to
redress Google’s anticompetitive agreements without
imposing unnecessary constraints. For starters, just
because Google didn’t get something that it proposed
is no basis to upend the injunction. The district court
did not blindly adopt all of Epic’s proposals either, and
instead crafted an injunction that responded to the
evidence. The court followed our precedent by using
the parties’ proposals to tailor a remedy that would
“terminate the illegal monopoly, deny to the
defendant the fruits of its statutory violation, and
ensure that there remain no practices likely to result
in monopolization in the future.” Optronic, 20 F.4th at
486 (citation omitted).
Google specifically protests: (1) how the restriction
on conditional agreements “prohibits certain
incentives to OEMs regarding Play’s specific
placement on Android devices, even if the incentive
places no condition on whether the OEM deals with
Play’s app distribution rivals or the OEM itself is an
Android app distribution rival”; and (2) how the
prohibitions on revenue sharing apply to lump- sum
61a
payments and not just agreements to share a
percentage of Play Store revenue. But these
provisions
help
unwind
the
Play
Store’s
monopolization of the Android app-distribution
market and prevent “acts which are of the same type
or class as unlawful acts . . . found to have been
committed.” Zenith Radio, 395 U.S. at 132. The
prohibition on OEM incentives lowers barriers to
entry by keeping Google from using its clout to have
the Play Store pre-downloaded on Android
smartphones. The revenue-sharing provision ensures
that Google does not simply enhance advantages that
it previously obtained by allocating fixed sums instead
of percentages of its Play Store revenue. Neither
remedy constitutes a “clear error of judgment” on the
part of the district court. La Quinta, 762 F.3d at 879
(citation omitted).
2. The
State
Considered
Settlement
Was
Duly
As for Google’s pretrial settlement with the States,
the district court was well aware of that development.
An expert statement detailed why the States’
settlement “d[id] not fully prohibit the conduct found
to be anticompetitive at trial” or “attempt to undo the
effects of Google’s past anticompetitive conduct,” and
the court plainly resolved that the injunction would be
“the floor” dictating the settlement’s baseline—not the
other way around. That approach was entirely
appropriate and within the court’s remedial
discretion: The States made a considered decision to
settle and accept equitable relief plus a payment of
$700 million. The district court was under no
obligation to let the settlement cabin the injunction
62a
following the finding of liability against Google, nor
was the court required to pay lip service to the
settlement as a proxy for the public interest. Google’s
suggestion that the States’ settlement somehow
should have driven the terms of the injunction simply
has no basis in law or fact. Even more to the point,
Google offers no concrete explanation why the
coexistence of the State settlement and the injunction
harms the public interest.
3. The Injunction Weighs Non-Parties’
Intellectual Property and Security
Interests
Google’s final two fact-based arguments do not
accord with the record or the terms of the injunction,
in that they raise intellectual property and security
concerns that the court was quite cognizant of and
addressed in its remedy. With respect to non-parties’
intellectual property interests, the court heard expert
testimony about those rare “one-in-a-million
situations,” wherein an Android app developer might
not want its products to be distributed over app stores
other than Google Play. Google proposed an opt-in
mechanism, whereas Epic offered the opt-out
mechanism that the court ultimately adopted: “Google
will provide developers with a mechanism for opting
out of inclusion in catalog access for any particular
third-party Android app store.” This approach reflects
due consideration of developers’ intellectual property
interests as one of the many “relevant factors” in
crafting the injunction. Google swats at a gnat and
misses in its effort to bring down the injunction. La
Quinta, 762 F.3d at 880.
63a
The same is true with respect to the injunction’s
treatment of non-parties’ security interests. Even
setting aside amici’s arguments that Google’s fear
mongering around security is “pretextual”—or that a
more open Android ecosystem could bring long-term
security benefits—the court had before it a robust
record on the potential security risks attendant to the
catalog-access and app-store distribution remedies.19
As the explanatory order laid out, that is why the
injunction explicitly addresses these risks in the appstore-distribution remedy, by allowing Google “to
ensure that the platforms or stores, and the apps they
offer, are safe from a computer systems and security
standpoint.” It is also why the district court
established the Technical Committee to review and
resolve “technical issues about security and the like.”
Again, these remedial measures offer plainly
articulated responses to the relevant factor of non19
Amicus briefs weighed in on both sides of the security issues.
Former national security officials warned that the injunction
would “drastically lower[] the barriers for potentially malicious
third-parties to gain access to the Google Play Store,” and the
Chamber of Progress and other interest groups worried that it
“does not address what security protections Google can provide
for the new services it has been ordered to supply.” In contrast,
however, Microsoft proffered that “the idea that Google’s
restrictive practices are necessary to address [security] risks is
untenable,” noting that regulatory intervention in Europe has
already forced Google to permit in-app payment methods other
than Google Play Billing “without a security or privacy
catastrophe.” The Electronic Frontier Foundation went even
further, suggesting that Google’s “feudal” security model would
be improved by the injunction in the long run, because “the
security offered by a monopolist is more fragile than what a
competitive market can provide.”
64a
parties’ security interests. They reflect an
engagement with the evidence presented in the record
and, like all the injunction’s remedies, a clear basis in
that extensive factual record.
G. Epic Has Standing
Lastly, Google misses the mark by challenging
Epic’s Article III standing to seek nationwide
injunctive relief, including the provisions that address
catalog access, app-store distribution, and the billing
and anti-steering policies that prohibit the Play Store
from requiring or otherwise favoring Google Play
Billing. This argument goes to the scope of the
injunction, despite Google’s efforts to cloak it as a
jurisdictional issue and rope it into the current
controversy surrounding nationwide injunctions,
recently addressed by the Supreme Court in Trump v.
CASA, Inc., 606 U.S. ----, No. 24A884, 2025 WL
1773631, at *4 (U.S. June 27, 2025). Google’s framing
departs from the case law, and the scope of a
permanent injunction following a finding of antitrust
liability is hardly comparable to that of a preliminary
injunction on a constitutional question. CASA’s
holding about district courts’ authority under the
Judiciary Act of 1789 has no bearing on whether the
district court here exceeded its equitable powers
under Section 16 of the Clayton Act. The CASA court
remarked at the outset that individual plaintiffs’
standing was not at issue in that case. Id. at n.2. It
also clarified that a restriction on “universal
injunctions” does nothing to change the fact that “a
traditional, parties-only injunction can apply beyond
the jurisdiction of the issuing court.” Id. at n.1 (citing
Steele v. Bulova Watch Co., 344 U.S. 280, 289 (1952)).
65a
The redressability element of standing—which
Google challenges here—is a question of “the relief
that federal courts are capable of granting.” Kirola v.
City & Cnty. of S.F., 860 F.3d 1164, 1176 (9th Cir.
2017); see also Seattle Pac. Univ. v. Ferguson, 104
F.4th 50, 63 (9th Cir. 2024) (“[A plaintiff] need only
show that the court could fashion an injunction that
could redress its injuries.”). This determination is
distinct from the merits determination. Kirola, 860
F.3d at 1175 (“[Article III’s] standards exist apart
from the merits, and are well established.”). Google’s
citations to Murthy are inapposite; unlike that
situation, no one contends that this injunction would
be “unlikely to affect the [alleged wrongdoer’s]
decisions.” Murthy v. Mo., 603 U.S. 43, 74 (2024).
As for Google’s suggestion that Epic has shown no
risk of repeated injury caused by Play Store’s billing
policies because “Epic has not distributed apps on
Play for years,” we note that it was precisely Epic’s
attempt to launch Fortnite on the Play Store that led
to this litigation. And Google’s argument about the
anti-steering provision is foreclosed by Apple. 67 F.4th
at 972 (upholding injunction against anti-steering
provision “because Epic is a competing games
distributor and would earn additional revenue but for
Apple’s
restrictions”).
Contrary
to
Google’s
contentions, the district court specifically noted trial
evidence showing “the anticompetitive nature of these
anti-steering restrictions.” Those anticompetitive
effects, if the restrictions were not enjoined, would
continue to harm competition in the defined markets
of Android in-app billing and Android app
distribution, in which Epic is undisputedly a player.
66a
Nothing more is needed to fulfill the constitutional
minimum for standing.
The ultimate scope of an injunction is reviewed for
abuse of discretion and is based on the merits—“not
redressability.” Seattle Pac., 104 F.4th at 63. To the
extent that Google challenges the district court’s
exercise of discretion in crafting the injunction, we
disagree. The nationwide prohibitions fit squarely
within the district court’s “large discretion” to craft
equitable antitrust remedies. Ford Motor, 405 U.S. at
573 (citation omitted). These remedies and their scope
are supported by the record and the nature of the
market, and we uphold them along with the liability
verdict and the entire injunction.
AFFIRMED.
67a
APPENDIX B
_________
UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF CALIFORNIA
_________
IN RE GOOGLE PLAY STORE ANTITRUST LITIGATION
_________
MDL Case No. 21-md-02981-JD
Member Case No. 20-cv-05671-JD
_________
PERMANENT INJUNCTION
_________
Filed: 10/7/24
_________
This permanent injunction is entered in MDL
member case Epic Games, Inc. v. Google LLC et al.,
Case No. 20-cv-05671-JD, on the jury verdict against
Google under Sherman Act Sections 1 and 2, 15 U.S.C.
§§ 1, 2, and the Cartwright Act, Cal. Bus. & Prof. Code
§§ 16700 et seq., and the Court’s finding that Google
violated the California Unfair Competition Law, Cal.
Bus. & Prof. Code §§ 17200 et seq.
1. This injunction applies to Google LLC and each
of its parent, affiliated, and subsidiary entities,
officers, agents, employees, and any person in active
concert or participation with them, who receive actual
notice of this order by personal service or otherwise
(together, Google).
68a
2. Unless otherwise stated, the effective date of the
injunction is November 1, 2024.
3. The geographic scope of the injunction is the
United States of America.
4. For a period of three years ending on November
1, 2027, Google may not share revenue generated by
the Google Play Store with any person or entity that
distributes Android apps, or has stated that it will
launch or is considering launching an Android app
distribution platform or store.
5. For a period of three years ending on November
1, 2027, Google may not condition a payment, revenue
share, or access to any Google product or service, on
an agreement by an app developer to launch an app
first or exclusively in the Google Play Store.
6. For a period of three years ending on November
1, 2027, Google may not condition a payment, revenue
share, or access to any Google product or service, on
an agreement by an app developer not to launch on a
third-party Android app distribution platform or store
a version of an app that includes features not
available in, or is otherwise different from, the version
of the app offered on the Google Play Store.
7. For a period of three years ending on November
1, 2027, Google may not condition a payment, revenue
share, or access to any Google product or service, on
an agreement with an original equipment
manufacturer (OEM) or carrier to preinstall the
Google Play Store on any specific location on an
Android device.
8. For a period of three years ending on November
1, 2027, Google may not condition a payment, revenue
69a
share, or access to any Google product or service, on
an agreement with an OEM or carrier not to preinstall
an Android app distribution platform or store other
than the Google Play Store.
9. For a period of three years ending on November
1, 2027, Google may not require the use of Google Play
Billing in apps distributed on the Google Play Store,
or prohibit the use of in-app payment methods other
than Google Play Billing. Google may not prohibit a
developer from communicating with users about the
availability of a payment method other than Google
Play Billing. Google may not require a developer to set
a price based on whether Google Play Billing is used.
10. For a period of three years ending on November
1, 2027, Google may not prohibit a developer from
communicating with users about the availability or
pricing of an app outside the Google Play Store, and
may not prohibit a developer from providing a link to
download the app outside the Google Play Store.
11. For a period of three years, Google will permit
third-party Android app stores to access the Google
Play Store’s catalog of apps so that they may offer the
Play Store apps to users. For apps available only in
the Google Play Store (i.e., that are not independently
available through the third-party Android app store),
Google will permit users to complete the download of
the app through the Google Play Store on the same
terms as any other download that is made directly
through the Google Play Store. Google may keep all
revenues associated with such downloads. Google will
provide developers with a mechanism for opting out of
inclusion in catalog access for any particular thirdparty Android app store. Google will have up to eight
70a
months from the date of this order to implement the
technology necessary to comply with this provision,
and the three-year time period will start once the
technology is fully functional.
12. For a period of three years, Google may not
prohibit the distribution of third-party Android app
distribution platforms or stores through the Google
Play Store. Google is entitled to take reasonable
measures to ensure that the platforms or stores, and
the apps they offer, are safe from a computer systems
and security standpoint, and do not offer illegal goods
or services under federal or state law within the
United States, or violate Google’s content standards.
The review measures must be comparable to the
measures Google is currently taking for apps proposed
to be listed in the Google Play Store. If challenged,
Google will bear the burden of proving that its
technical
and
content
requirements
and
determinations are strictly necessary and narrowly
tailored. Google may require app developers and app
store owners to pay a reasonable fee for these services,
which must be based on Google’s actual costs. Google
will have up to eight months from the date of this
order to implement the technology and procedures
necessary to comply with this provision, and the
three-year time period will start once the technology
and procedures are fully functional. For the duration
of this time period, the Technical Committee
described in paragraph 13 below will in the first
instance decide challenges to Google’s review
decisions, with the Court serving as the final word
when necessary.
71a
13. Within thirty days of the date of this order, the
parties will recommend to the Court a three-person
Technical Committee. Epic and Google will each select
one member of the Technical Committee, and those
two members will select the third member. After
appointment by the Court, the Technical Committee
will review disputes or issues relating to the
technology and processes required by the preceding
provisions. If the Technical Committee cannot resolve
a dispute or issue, a party may ask the Court for a
resolution. The Technical Committee may not extend
any deadline set in this order, but may recommend
that the Court accept or deny a request to extend.
Each party will bear the cost of compensating their
respective party-designated committee member for
their work on the committee. The third member’s fees
will be paid by the parties in equal share.
14. The Court will retain jurisdiction over the
injunction for all purposes. Google or Epic may
request a modification of the injunction for good cause.
IT IS SO ORDERED.
Dated: October 7, 2024
/s/
JAMES DONATO
United States District Judge
72a
APPENDIX C
_________
UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF CALIFORNIA
_________
IN RE GOOGLE PLAY STORE ANTITRUST LITIGATION
_________
MDL Case No. 21-md-02981-JD
Member Case No. 20-cv-05671-JD
_________
ORDER RE UCL CLAIM AND INJUNCTIVE
RELIEF
_________
Filed: 10/7/24
_________
This order gives the reasons for the permanent
injunction to be entered in Epic Games, Inc. v. Google
LLC et al., Member Case No. 20-cv-05671-JD. It also
resolves Epic’s equitable claims against Google under
California’s Unfair Competition Law, Cal. Bus. &
Prof. Code §§ 17200 et seq.
BACKGROUND
In the order denying Google’s post-verdict motion for
judgment as a matter of law or a new trial, Dkt. No.
984 (JMOL Order),1 the Court discussed in detail the
1
Unless otherwise noted, all docket number references are to
the ECF docket for In re Google Play Store Antitrust Litigation,
Case No. 21-md-02981-JD.
73a
jury’s unanimous verdict against Google and the trial
evidence that supported the verdict. In summary,
after testimony by forty-five witnesses about Google’s
Play Store practices presented over fifteen days of
trial, the jury found in favor of Epic on: (1)
monopolization under Section 2 of the Sherman Act,
15 U.S.C. § 2; (2) unlawful restraint of trade under
Section 1 of the Sherman Act, 15 U.S.C. § 1, and the
California Cartwright Act, Cal. Bus. & Prof. Code §§
16700 et seq.; and (3) tying under Section 1 of the
Sherman Act and the Cartwright Act. Id. at 3-4; Dkt.
No. 866 (Jury Verdict). Epic’s equitable claim under
the California Unfair Competition Law is for the
Court to decide.2
Epic seeks an injunction as the remedy on the jury
verdict. To help determine an appropriate injunction,
the Court held extensive post-verdict hearings on
what an injunction should seek to accomplish, and
where it should refrain from acting. Epic kicked off
the proceedings by filing a proposed injunction. Dkt.
No. 952. Google responded with more than 90 pages of
objections. Dkt. No. 958. To ensure a fully developed
record on the remedy, the Court invited each side’s
experts to present their views in concurrent expert
evidentiary hearings. One hearing involved testimony
by four economists, two for each side of the case. Dkt.
No. 978. A second hearing involved technology experts
sponsored by Epic, and three Google engineers. Dkt.
No. 1001. In each hearing, the witnesses were directed
to focus their comments on issues specific to the jury
2
The Court is advised that the parties have resolved Google’s
breach of contract counterclaim and there are no remaining
counterclaims or defenses for resolution. Dkt. No. 1002.
74a
verdict and the facts in evidence at trial. See Dkt. Nos.
977, 1000. In conjunction with the hearings, the
parties filed statements by the economists, Dkt. Nos.
952, 957, and the technology experts and engineers.
Dkt. Nos. 981, 985. The Federal Trade Commission
filed an amicus brief, which the Court accepted. Case
No. 20-cv-05671-JD, Dkt. No. 686-1. After the
evidentiary hearings concluded, the Court heard
closing arguments from the parties on the issue of the
remedy. Dkt. No. 1000 at 95:18-155:1.
Overall, each side had a virtually unlimited
opportunity to present its views about the scope and
content of an injunction. Google’s request for even
more discussion is not well taken. See, e.g., Dkt. No.
958 at 11. Google took full advantage of the Court’s
open-ended procedures, as the voluminous postverdict docket entries readily attest. As the Court
noted in the JMOL Order, it bears mention that
Google has, on several occasions, fired a blunderbuss
of comments and complaints that are underdeveloped
and consequently unhelpful in deciding the issues. See
Dkt. No. 984 at 4. More of the same is not warranted
at this closing stage of the case.
DISCUSSION
I. THE UCL CLAIM
Before turning to the injunction, Epic’s final claim
under the California Unfair Competition Law (UCL)
must be resolved. The UCL prohibits “any [1]
unlawful, [2] unfair or [3] fraudulent business act or
practice.” Cal. Bus. & Prof. Code § 17200. Epic has
alleged that Google violated the unlawful and unfair
prongs of the UCL. Dkt. No. 378 ¶¶ 295-96. These are
equitable claims entrusted to the Court’s sound
75a
discretion. See Nationwide Biweekly Admin., Inc. v.
Superior Court of Alameda Cnty., 9 Cal. 5th 279, 292
(2020) (“the causes of action established by the UCL
. . . are equitable in nature and are properly tried by
the court rather than a jury”).
The disposition of the unlawful prong is
straightforward. The jury concluded that Google’s
Play Store conduct violated the Sherman Act and
Cartwright Act. See Dkt. No. 866. As Google has
rightly said, this means that Google necessarily
violated the unlawful prong of the UCL. See Dkt. No.
1000 at 152:2-21; see also Cel-Tech Commc’ns, Inc. v.
L.A. Cellular Tel. Co., 20 Cal. 4th 163, 180 (1999) (“By
proscribing ‘any unlawful’ business practice, ‘section
17200 “borrows” violations of other laws and treats
them as unlawful practices’ that the unfair
competition law makes independently actionable.”)
(citation omitted).
The unfair prong is more nuanced because it is
“intentionally framed in . . . broad, sweeping
language, precisely to enable judicial tribunals to deal
with the innumerable new schemes which the fertility
of man’s invention would contrive.” Epic Games, Inc.
v. Apple, Inc., 67 F.4th 946, 1000 (9th Cir. 2023)
(internal quotations and citations omitted). California
state courts have formulated two tests relevant here.
To support “any finding of unfairness to competitors,”
the Court decides whether the defendant’s conduct
“threatens an incipient violation of an antitrust law,
or violates the policy or spirit of one of those laws
because its effects are comparable to or the same as a
violation of the law, or otherwise significantly
threatens or harms competition.” Cel-Tech, 20 Cal.
76a
4th at 186-87. To support a finding of unfairness to
consumers, the Court balances “the utility of the
defendant’s conduct against the gravity of the harm to
the alleged victim.” Progressive W. Ins. Co. v. Yolo
Cnty. Superior Court, 135 Cal. App. 4th 263, 285-86
(2005) (citation omitted). The inquiries are not
“mutually exclusive” and will have some substantive
overlap. Lozano v. AT & T Wireless Servs., Inc., 504
F.3d 718, 736 (9th Cir. 2007) (citing Schnall v. Hertz
Corp., 78 Cal. App. 4th 1144 (2000)).3
Whether Epic is characterized as a competitor (such
as the provider of a competing in-app billing service)
or a customer (such as a developer and distributor of
Android apps, including for a time on the Google Play
Store), the unfairness prong has been violated. The
jury found that Google’s conduct violated the antitrust
laws and substantially harmed competition in the
relevant markets, and directly injured Epic. The jury
rejected
Google’s
proffered
procompetitive
justifications for its conduct. Consequently, the Court
concludes that Epic has prevailed on the UCL claim
3
In Lozano, our circuit acknowledged that the question of “how
to define ‘unfair’ in the consumer action context after Cel-Tech”
has not been completely settled by the California courts. 504 F.3d
at 736 (emphasis omitted). More recently, our circuit stated that
“[u]nder the UCL’s unfairness prong, courts consider either: (1)
whether the challenged conduct is ‘tethered to any underlying
constitutional, statutory or regulatory provision, or that it
threatens an incipient violation of an antitrust law, or violates
the policy or spirit of an antitrust law,’; (2) whether the practice
is ‘immoral, unethical, oppressive, unscrupulous or substantially
injurious to consumers,’; or (3) whether the practice’s impact on
the victim outweighs ‘the reasons, justifications and motives of
the alleged wrongdoer.’” Doe v. CVS Pharmacy, Inc., 982 F.3d
1204, 1214-15 (9th Cir. 2020) (internal citations omitted).
77a
against Google under the unlawful and unfair prongs.
Judgment will be entered in favor of Epic.
II. THE INJUNCTION
A. Legal Standards
1. The Federal Antitrust Laws
An injunction on the federal antitrust verdict is
governed by Section 16 of the Clayton Act, 15 U.S.C.
§ 26. Under Section 16, “[a]ny person, firm,
corporation, or association” is entitled to “injunctive
relief . . . against threatened loss or damage by a
violation of the antitrust laws, . . . , when and under
the same conditions and principles as injunctive relief
against threatened conduct that will cause loss or
damage is granted by courts of equity.” To warrant an
injunction, a plaintiff “need only demonstrate a
significant threat of injury from an impending
violation of the antitrust laws or from a contemporary
violation likely to continue or recur.” Zenith Radio
Corp. v. Hazeltine Research, Inc., 395 U.S. 100, 130
(1969). Injunctive relief is “wholly proper” when there
is “nothing indicating that” a clear violation of the
antitrust laws that has already been found “had
terminated or that the threat to [plaintiff] inherent in
the conduct would cease in the foreseeable future.” Id.
at 131-32.
The plain words of Section 16 must be read with the
purpose of the antitrust laws in mind. “Antitrust laws
in general, and the Sherman Act in particular, are the
Magna Carta of free enterprise. They are as important
to the preservation of economic freedom and our freeenterprise system as the Bill of Rights is to the
protection of our fundamental personal freedoms.”
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United States v. Topco Assocs., Inc., 405 U.S. 596, 610
(1972); see also North Carolina State Bd. of Dental
Examiners v. F.T.C., 574 U.S. 494, 502 (2015)
(“Federal antitrust law is a central safeguard for the
Nation’s free market structures.”) (citing Topco, 405
U.S. at 610). The question has been asked whether our
tech-based economy has outgrown the federal
antitrust laws, which date back to 1890 when the
Sherman Act was signed into law. In the Court’s view,
it has not. The broad provisions of the Sherman Act
provide all of the tools needed to address the issues
presented in this case, as they have for over a century
in a constantly changing national economy. Google
has not suggested otherwise.
The tools available for a remedy are powerful. As the
Supreme Court has emphasized, injunctive relief
under Section 16 is meant to restore economic freedom
in the relevant markets and break the shackles of
anticompetitive conduct. “In exercising its equitable
jurisdiction, a federal court has broad power to
restrain acts which are of the same type or class as
unlawful acts which the court has found to have been
committed or whose commission in the future unless
enjoined, may fairly be anticipated from the
defendant’s conduct in the past.” Zenith, 395 U.S. at
132 (cleaned up); see also United States v. Loew’s, Inc.,
371 U.S. 38, 52 (1962) (relief should be “adequate to
prevent the recurrence of the illegality which brought
on the given litigation.”). “The relief in an antitrust
case must be effective to redress the violations and to
restore competition. The District Court is clothed with
large discretion to fit the decree to the special needs of
the individual case.” Ford Motor Co. v. United States,
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405 U.S. 562, 573 (1972) (quotations and citations
omitted). “Antitrust relief should unfetter a market
from anticompetitive conduct and ‘pry open to
competition a market that has been closed by
defendants’ illegal restraints.’” Id. at 577-78 (citation
omitted); see also United States v. Microsoft Corp., 253
F.3d 34, 103 (D.C. Cir. 2001) (“remedies decree in an
antitrust case must seek to unfetter a market from
anticompetitive conduct, to terminate the illegal
monopoly, deny to the defendant the fruits of its
statutory violation, and ensure that there remain no
practices likely to result in monopolization in the
future.”) (quotations and citations omitted).
To these ends, the Court is charged with making “a
reasonable judgment on the means needed to restore
and encourage the competition adversely affected by”
the anticompetitive conduct. Ford Motor, 405 U.S. at
578; see also Nat’l Soc’y of Prof’l Eng’rs v. United
States, 435 U.S. 679, 697 (1978) (district court is
“empowered to fashion appropriate restraints on the
[defendant’s] future activities both to avoid a
recurrence of the violation and to eliminate its
consequences.”). A remedy is not limited simply to
prohibiting conduct found to be anticompetitive.
Rather, the Court has discretion to fashion a remedy
directed to the effect of the anticompetitive conduct.
See Mass. v. Microsoft Corp., 373 F.3d 1199, 1209
(D.C. Cir. 2004). As our circuit has concluded, “[i]f the
jury finds that monopolization or attempted
monopolization has occurred, the available injunctive
relief is broad, including to terminate the illegal
monopoly, deny to the defendant the fruits of its
statutory violation, and ensure that there remain no
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practices likely to result in monopolization in the
future.” Optronic Techs., Inc. v. Ningbo Sunny Elec.
Co., Ltd., 20 F.4th 466, 486 (9th Cir. 2021) (quotations
and citation omitted).4
2. UCL
The UCL provides an independent state-law basis
for an injunction. “Any person who engages, has
engaged, or proposes to engage in unfair competition
may be enjoined in any court of competent
jurisdiction.” Cal. Bus. & Prof. Code § 17203. For
Google’s UCL violations, the Court may make “such
orders . . . as may be necessary to prevent the use or
employment by any person of any practice which
constitutes unfair competition.” Id. To be sure, “[e]ven
where the UCL authorizes injunctive relief pursuant
to state law, a federal court must also ensure that the
relief comports with ‘the traditional principles
governing equitable remedies in federal courts.’ To
issue an injunction, the court must find: ‘(1) that [the
plaintiff] has suffered an irreparable injury; (2) that
remedies available at law, such as monetary damages,
are inadequate to compensate for that injury; (3) that,
considering the balance of hardships between the
plaintiff and defendant, a remedy in equity is
warranted; and (4) that the public interest would not
be disserved by a permanent injunction. Injunctive
relief should be no ‘more burdensome to the defendant
4
The California Cartwright Act also provides for an antitrust
injunction. See Cal. Bus. & Prof. Code Section 16750(a). The
parties have treated Epic’s Cartwright Act claims as being
coterminous with the Sherman Act claims for purposes of both
liability and remedy, and so no additional discussion of the
Cartwright Act is needed here.
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than necessary to provide complete relief to the
plaintiff[].’” Epic Games, 67 F.4th at 1002 (citations
omitted).
Epic did not need to spell out this four-factor test in
post-verdict briefing, for good reason. All of the
elements were thoroughly established by the jury
verdict and the evidence at trial. In pertinent part,
Epic established that it suffered an irreparable injury.
It was, in the language of the UCL, illegally and
unfairly foreclosed from using its own in-app billing
services while distributing its Fortnite app through
the Google Play Store because of Google’s
anticompetitive practices. Epic was also illegally and
unfairly foreclosed from competing in the market for
Android in-app billing services for digital goods and
services transactions, again because of Google’s
anticompetitive conduct. These harms are ongoing
and cannot be made right simply by Google writing
Epic a large check. Considering the balance of
hardships between Epic and Google, a remedy in
equity is warranted, and the public interest, which is
perfectly aligned with the restoration of free and
unfettered competition, would be well served by a
permanent injunction.
Consequently, injunctive relief on the UCL claim is
warranted, and the scope of that relief is coterminous
with the injunction for the violations of the antitrust
statutes. In setting the scope of the injunction, the
Court has been mindful that Google must not be
unduly inhibited in its ability to compete in legitimate
ways by, for example, improving its products or its
pricing.
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B. Geographic Scope
The initial question for the injunction is where it will
apply geographically. The jury found a relevant
geographic market of worldwide except for China for
both of the product markets, which was a conclusion
that was amply supported by the evidence at trial. See
JMOL Order at 14-15. Even so, the permanent
injunction is limited to the United States.
This is due mainly to principles of comity and
deference to the rights of other countries to address
anticompetitive conduct under their own laws and
regulations. The record indicates that enforcement
agencies around the world are investigating Google’s
conduct with respect to the Play Store. See, e.g., Dkt.
No. 700 at 3 (granting Google’s motion in limine to
“exclude evidence or argument re foreign proceedings
and investigations”); Dkt. No. 644-2 at ECF pp. 61-68
(discussing foreign investigations and regulatory
reports); see also Dkt. No. 958 (Google’s Objections) at
87-89 (describing extensive legal, investigative,
regulatory, and other informal proceedings underway
in foreign jurisdictions). It is neither the right nor the
duty of a United States court to preempt the
enforcement powers of other nations by imposing an
injunction that would operate within their borders.
Consequently, the Court elects, as a prudential
matter, not to interfere in the administration of
antitrust laws outside the United States. See Mujica
v. AirScan Inc., 771 F.3d 580, 598 (9th Cir. 2014)
(“International comity is a doctrine of prudential
abstention, one that ‘counsels voluntary forbearance
when a sovereign which has a legitimate claim to
jurisdiction concludes that a second sovereign also has
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a legitimate claim to jurisdiction under principles of
international law.’”) (citation omitted).
C. Specific Provisions On Anticompetitive
Conduct
“When it comes to fashioning an antitrust remedy,
we acknowledge that caution is key.” Nat’l Collegiate
Athletic Ass’n v. Alston, 594 U.S. 69, 106 (2021). Epic’s
proposed injunction made many good points, as did its
economists in the post-verdict proceedings. But Epic’s
proposal also threatened a degree of judicial oversight
that would amount to micromanagement of Google’s
business. It is not for the Court to decide the day-today business issues of Android app distribution and
in-app billing. See Verizon Commc’ns Inc. v. Law
Offices of Curtis V. Trinko, LLP, 540 U.S. 398, 415
(2004) (Court should not “assume the day-to-day
controls characteristic of a regulatory agency”)
(quotations and citation omitted). Consequently, the
Court declines to impose several of the injunction
terms urged by Epic.
Even so, important remedial measures can be
imposed that do not demand excessive judicial
oversight. The trial made this determination a
straightforward task. For example, in light of the jury
verdict and supporting evidence, it is perfectly
appropriate that Google be enjoined from sharing Play
Store revenues with current or potential Android app
store rivals, and from imposing contractual terms that
condition benefits on promises intended to guarantee
Play Store exclusivity. Google itself agreed with these
conduct remedies. See Dkt. No. 1000 at 120:16-19
(Google’s counsel agreeing that “the two prohibitions
. . . that Dr. Bernheim discussed, those can be a part
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of the injunction with certain modifications”); id. at
98:21-105:9 (Epic’s counsel discussing Dr. Bernheim’s
two prohibitions). The prohibitions along these lines
are stated in paragraphs 4 through 8 of the injunction,
and they closely track the evidence of anticompetitive
conduct at trial as summarized in the JMOL Order.
See Dkt. No. 984 at 17-20.
The revenue share and contractual prohibitions will
be in effect for a period of three years. This is because
the provisions are designed to level the playing field
for the entry and growth of rivals, without burdening
Google excessively. See Mass. v. Microsoft, 373 F.3d at
1231-32 (Court’s task is to redress the harm done to
competition “by restoring conditions in which the
competitive process is revived and any number of
competitors may flourish (or not) based upon the
merits of their offerings.”). As competition comes into
play and the network effects that Google Play unfairly
enjoys are abated, Google should not be unduly
constrained as a competitor. Some of the prohibited
conduct might be legitimate when done by a company
without monopoly power. See Eastman Kodak Co. v.
Image Tech. Servs., Inc., 504 U.S. 451 (1992) (Scalia,
J., dissenting) (“Where a defendant maintains
substantial market power, his activities are examined
through a special lens: Behavior that might otherwise
not be of concern to the antitrust laws -- or that might
even be viewed as procompetitive -- can take on
exclusionary connotations when practiced by a
monopolist.”) (citation omitted); see also McWane,
Inc., v. F.T.C., 783 F.3d 814, 836-37 (11th Cir. 2015)
(same).
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The injunction also includes provisions to remediate
the anticompetitive “consequences” of Google’s illegal
conduct. See Prof’l Eng’rs, 435 U.S. at 697; see also
Optronic Techs., 20 F.4th at 486 (Court may order
relief that represents a “reasonable method of
eliminating the consequences of the illegal conduct.”);
U.S. v. Microsoft, 253 F.3d at 103 (injunction should
“deny to the defendant the fruits of its statutory
violation.”).
The consequences to be remediated are intertwined
with the network effects of Google’s dominant position
in the relevant markets. The Court instructed the
jury, without objection by either side, that the Google
Play Store is a “two-sided platform market” that
“offers products or services to two different groups
who both depend on the platform to intermediate
between them.” Dkt. No. 850 (Final Jury Instructions)
at ECF p. 22 (No. 18). For the Play Store, “developers
who wish to sell their apps” are on one side of the
market and “consumers that wish to buy those apps”
are on the other. Id. “Network effects” in this context
means that the greater the number of developers, the
greater the number of users, and vice versa. As Google
put it in an internal slide that was introduced at trial,
Google understood that “Users come to Play because
we have by far the most compelling catalog of
apps/games,” and “Developers come to Play because
that’s where the users are.” Trial Tr. at 1211:231212:1.
Senior Google executive Jamie Rosenberg testified
about network effects in connection with the slide
deck entitled, “Amazon competitor deep dive,” which
was presented to Rosenberg’s team in 2017. Trial Tr.
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at 1207:13-22; Dkt. No. 886-50 (Trial Ex. 682). The
slides discussed the threat posed by the Amazon app
store, a potential competitor of the Google Play Store.
Trial Tr. at 1207:24-1208:1. Under the heading, “Good
News,” Google said that “Amazon is yet to establish
critical mass” and noted that “Play benefits from
network effects.” Id. at 1211:7-22. As Google
acknowledged in the slides, “Amazon will struggle to
break those network effects”: “Users won’t go to
Amazon because their catalog of apps/games is very
limited”; and “Developers won’t focus on Amazon
because they don’t have users.” Trial Tr. at 1212:5-9.
Other evidence along these lines was also presented
to the jury.
The picture drawn by this evidence is telling. Even
a corporate behemoth like Amazon could not compete
with the Google Play Store due to network effects.
Consequently, the injunction must overcome the
effects by providing access to the catalog of Play Store
apps for a period of time sufficient to give rival stores
a fair opportunity to establish themselves. This will
be three years on the terms stated in the injunction.
Google’s main objection to catalog access is that the
anticompetitive conduct found by the jury was not
proven to be a significant cause of these network
effects. See Dkt. No. 1000 at 122:9- 11. Google says
that any network effects in the relevant market are
attributable to its role as a first mover in the markets,
and so are not subject to remediation.
The point is not well taken. The network effects
presented during trial are a feature of any two-sided
market such as the Google Play Store. Although
Google may legitimately claim some early mover
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advantage, it was not entitled to maintain and
magnify network effects, and thereby entrench its
dominant position, through the anticompetitive
conduct found by the jury. It bears emphasis that
Rosenberg’s testimony and the Amazon slides
concerned events in 2017, well after the original
launch of the Play Store and the start of the relevant
time period in August 2016. Eight months into the
time period in which Google engaged in
anticompetitive conduct, it was well aware that “to get
more developers, Amazon needs more users.” Id. at
1213:18-20. This frank admission was made precisely
while Google was erecting barriers to insulate the
Play Store from competition.
Consequently, the salient question is not whether
Google’s anticompetitive conduct caused the network
effects. Rather, the question is whether Google
engaged in anticompetitive conduct that had the
consequence of entrenching and maintaining its
monopoly power in a two-sided market. The jury
answered that question in the affirmative. In effect,
Google unfairly enhanced its network effects in a way
that would not have happened but for its
anticompetitive conduct.
This is why the injunction must not only prohibit the
specific anticompetitive conduct that Google engaged
in, but also undo the consequence of Google’s ill-gotten
gains. As the FTC aptly said in an amicus brief,
“[n]etwork effects can confer a powerful incumbency
advantage to dominant digital platforms, creating
barriers to entry and to competition. . . . The
incumbent platform operator -- which had been
motivated to attract both users and developers by
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offering innovative, low-cost services before
establishing dominance -- may become less
incentivized to compete after it achieves market
power and builds a moat insulating itself from
competition.” Dkt. No. 686-1 at 9. The injunction must
bridge the moat.
Even so, the catalog access provision is narrowly
tailored to remediate the unfairly enhanced network
effects Google reaped without unfairly penalizing its
success as a first mover. To that end, if a rival app
store does not have a relationship with a developer
and so cannot fulfill a download request by a user, the
rival will direct the download request to the Google
Play Store. In that case, the Google Play Store will
fulfill the download request and keep the associated
revenue, if any, and the download will be made
pursuant to the Google Play Store’s policies. All that
the catalog access does is level the playing field for a
discrete period of time so that rival app stores have a
fighting chance of getting off the ground despite
network effects and the disadvantage of offering a
“catalog of app/games” that is too “limited” to attract
users and developers in a two-sided market. Trial Tr.
at 1212:6-7.
So too for the injunction provision that prevents
Google from excluding rival app stores from the Play
Store. Witness Rosenberg testified that another
barrier faced by the Amazon app store was a
“significant hurdle to switching to Amazon APK.”
Trial Tr. at 1214:18. This referred to the fact that, to
get the Amazon store on their Android device, a user
would need to “sideload” it (i.e., download it from a
website or platform other than the Play Store), which
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subjected the user to a “quite complex” process
imposed by Google that “involve[d] 14 steps.” Id. at
1214:21-1216:22. Rosenberg agreed that “Google
recognized at the time that as a result of the unknown
source warning [resulting in at least 14 steps], the
hurdles [to download] were too high for most users.”
Id. at 1216:23-1217:2. Rosenberg also agreed that,
because the “Google Play Store is preloaded on the
home screen of virtually every Android phone through
the MADA,” and rival stores were excluded, a user
trying to download a rival app store outside the Play
Store would almost always face the barrier of the
“unknown sources install flow.” Id. at 1206:9-22.
Other witnesses at trial including other Google
executives testified that the “friction” Google built
into acquiring apps outside the Play Store was highly
effective in discouraging users from even trying. See,
e.g., Trial Tr. at 762:20-763:2, 1361:11-13. So for a
limited period of time, the injunction will lower the
barriers for rival app stores to get onto users’ phones
by enjoining Google from prohibiting the presence of
rival app stores in the Google Play Store.
As Google has suggested, there are potential
security and technical risks involved in making thirdparty apps available, including rival app stores. The
Court is in no position to anticipate what those might
be, or how to solve them. Consequently, Google will
have room to engage in its normal security and safety
processes. To the extent Google imposes requirements
along these lines on rival app stores, it will be bear the
burden when challenged of establishing that the
requirements were strictly necessary to achieve safety
and security for users and developers.
90a
Google has said on many occasions that catalog
access and hosting rival store apps amount to forcing
it to do business with rivals, in contradiction of “the
general rule” that “even monopolists ‘are free to
choose the parties with whom they will deal, as well
as the prices, terms, and conditions of that dealing.’”
Viamedia, Inc., v. Comcast Corp., 951 F.3d 429, 454
(7th Cir. 2020) (quoting Pacific Bell Tel. Co. v.
Linkline Commc’ns, Inc., 555 U.S. 438, 448 (2009)).
Not so. The Court has fully agreed for the duration of
this case that a refusal to deal with a potential rival
may not be the basis of antitrust liability. The jury
was expressly instructed on that point. Dkt. No. 850
at ECF p. 33 (No. 24). Nothing in the verdict or the
evidence at trial condemned Google for not extending
a helping hand to a rival.
The problem for Google is that the case is now in the
remedy phase, not the liability phase. The question at
hand is not whether Google violated the antitrust
laws by failing to aid rivals, but what measures are
necessary to restore fair competition in the face of the
barriers found by the jury. The jury heard abundant
evidence that Google used a variety of means to
ensure that the Play Store was the only fully
developed Android app marketplace for users and
developers. This evidence included the MADA and
RSA agreements and Google’s conditioning of access
by OEMs to Google’s Android services on
preinstallation of the Google Play Store on the home
screen of Android devices. The use of burdensome
“scare screens” to discourage sideloading of apps is
another example of evidence heard by the jury.
Requiring Google to allow other app stores to be
91a
distributed through the Play Store for a discrete
period is a modest step to correct the consequence of
unlawfully preventing rival stores from reaching
users and developers.
In this context, Google’s frequent mentions of Trinko
are misplaced. The Supreme Court affirmed the
district court’s dismissal of a complaint alleging
monopolization under Section 2 against Verizon for
not sharing access to its telephone network with
competitors as required by Congress in the
Telecommunications Act of 1996. Trinko, 540 U.S. at
401-02. The Supreme Court declined to extend the
reach of Aspen Skiing Co. v. Aspen Highlands Skiing
Corp., 472 U.S. 585 (1985), with the famous remark
that “Aspen Skiing is at or near the outer boundary of
§ 2 liability.” Trinko, 540 U.S. at 409. But the Court
also re-affirmed the holding of Aspen Skiing that
“[t]he high value that we have placed on the right to
refuse to deal with other firms does not mean that the
right is unqualified.” Id. at 408 (quoting Aspen Skiing,
472 U.S. at 601). The Court added that “[u]nder
certain circumstances, a refusal to cooperate with
rivals can constitute anticompetitive conduct and
violate § 2.” Id.
The Court ultimately determined that the situation
in Trinko did not rise to that level based on the specific
characteristics of the telecom industry. As the Court
instructed, “[a]ntitrust analysis must always be
attuned to the particular structure and circumstances
of the industry at issue.” Id. at 411. A factor of
“particular importance” was that Congress had
already created a regulatory structure in the
Telecommunications Act “designed to deter and
92a
remedy anticompetitive harm.” Id. at 412. The
protective hand of such regulation meant that any
additional benefit of antitrust enforcement would be
“small,” and that the “‘regulation significantly
diminishes the likelihood of major antitrust harm.’”
Id. (quoting Concord v. Boston Edison Co., 915 F.2d
17, 22 (1st Cir. 1990)). The Court also noted that the
complaint did not allege facts indicating that
Verizon’s conduct was prompted by “anticompetitive
malice” or “dreams of monopoly.” Id. at 409.
None of this has anything to do with the injunction
here. As discussed, this is not a case in which a refusal
to deal with a rival was the basis of Section 2 liability.
The facts, markets, and regulatory environment here
are also starkly different. Google seems to find a “vibe”
in Trinko to the effect that the remedy for a
monopolist’s anticompetitive conduct cannot involve
affirmative conduct with respect to a rival. Trinko
says nothing of the sort, and Google’s frequent
mention of the case is simply a red herring.
Google also overlooks the fact that an antitrust
remedy may trump what might be deemed traditional
boundaries of property rights. “Even constitutionally
protected property rights such as patents may not be
used as levers for obtaining objectives proscribed by
the antitrust laws.” Ford Motor, 405 U.S. at 576 n.11.
Section 16 “states no restrictions or exceptions to the
forms of injunctive relief a private plaintiff may seek,
or that a court may order. Rather, the statutory
language indicates Congress’ intention that
traditional principles of equity govern the grant of
injunctive relief.” California v. American Stores Co.,
495 U.S. 271, 281 (1990) (cleaned up). Consequently,
93a
the “purpose of relief in an antitrust case is ‘so far as
practicable, (to) cure the ill effects of the illegal
conduct, and assure the public freedom from its
continuance.’ Mandatory selling on specified terms
and compulsory patent licensing at reasonable
charges are recognized antitrust remedies.” United
States v. Glaxo Group Ltd., 410 U.S. 52, 64 (U.S. 1973)
(citations omitted). The Court may “consider the fact
that its injunction may impinge upon rights that
would otherwise be constitutionally protected, but
those protections do not prevent it from remedying the
antitrust violations. [¶] The standard against which
the order must be judged is whether the relief
represents a reasonable method of eliminating the
consequences of the illegal conduct.” Prof’l Eng’rs, 435
U.S. at 697-98. It is “entirely appropriate” for an
injunction to “go[] beyond a simple proscription
against the precise conduct previously pursued.” Id. at
698. If a well-grounded fear arises that the injunction
is too broad, “the burden is upon the proved
transgressor to bring any proper claims for relief to
the court’s attention.” Id. (quotations omitted).
Our circuit’s conclusions in Optronic Technologies
further undermine Google’s position. There, the jury
“properly found that Orion had been forced to pay
inflated prices as a result of the market power exerted
by Sunny and Synta following the unlawful Meade
acquisition,” and so ordering Sunny to supply Orion
on non-discriminatory terms was a “reasonable
method of remedying the harm to [Orion].” Optronic
Techs., 20 F.4th at 486. This was true because the
district court “can order conduct to ‘avoid a recurrence
of the [antitrust] violation and to eliminate its
94a
consequences.’” Id. (quoting Prof’l Eng’rs, 435 U.S. at
698). The same goes here.
During closing arguments on the remedy, Google
also relied on Image Technical Services, Inc. v.
Eastman Kodak Co., 125 F.3d 1195 (9th Cir. 1997),
stating that “in that case, the Ninth Circuit said that
the district court had erred when it ordered Kodak to
sell parts that were manufactured by someone else.”
Dkt. No. 1000 at 127:21-25. In Google’s view, “it’s the
same thing here. It’s legal error to order Play to have
to distribute someone else’s app store. Same reasoning
as in Kodak.” Id. at 128:1-3.
This is an odd position to take. The circuit’s
reasoning in Kodak had nothing to do with Kodak’s
freedom not to deal with its rivals. The circuit
modified the portion of the district court’s injunction
that “require[d] Kodak to sell all parts for Kodak
equipment, whether or not Kodak manufactures those
parts.” Kodak, 125 F.3d at 1225. The circuit believed
that the “‘all parts’ requirement creates barriers for
non-Kodak original-equipment manufacturers by
requiring them to price replacement parts at levels
necessary to attract ISOs away from Kodak’s parts
counter. It also unnecessarily entrenches Kodak as
the only parts supplier to ISOs.” Id. As was the case
with Google’s reliance on Trinko, none of this bears on
the facts and issues in this case.
As discussed, the Court has no intention of running
Google’s business as a “central planner.” Trinko, 540
U.S. at 408; see also Dkt. No. 1000 at 127:8-10 (“I have
no intention of having a highly detailed decree that
ends up impairing competition or micromanaging as a
central planner.”). The terms of the injunction are
95a
plainly worded and largely self-executing, and will not
embroil the Court in day-to-day business operations.
To the extent technical issues about security and the
like come up, the injunction establishes a Technical
Committee made up of one person selected by each
side, plus a third person to be selected by the parties’
two nominees, to resolve the issue in the first
instance. The Court will act only as needed to resolve
issues that cannot be resolved by the committee.
D. Tying
Overall, the injunction breaks the illegal tie by
prohibiting Google from requiring that developers use
Google Play Billing in apps distributed on the Google
Play Store. Epic asked the Court to also prohibit what
it called an “economic” tie, see, e.g., Dkt. No. 977 at
92:23-93:1, which would have ensnared the Court in a
detailed rate-setting exercise beyond its proper role.
See Town of Concord, Mass. v. Boston Edison Co., 915
F.2d 17, 25 (1st Cir. 1990). There is no need for the
Court to take on that task because the remedy for the
monopoly violation under Section 2 will also resolve
the tying violation found by the jury. The restoration
of free competition in the relevant markets is the best
medicine for correcting fees and prices.
The Court has addressed Google’s main contentions
with respect to the injunction. As noted, Google’s
modus operandi in this case has been to deluge the
Court in an ocean of comments, many of which were
cursory and undeveloped. The Court declines to take
up Google’s objections that were not fully developed in
their presentation to the Court.
96a
CONCLUSION
A permanent injunction will be entered against
Google for Epic’s Sherman Act, Cartwright Act, and
UCL claims. The effective date of the injunction is
November 1, 2024, to give Google time to bring its
current agreements and practices into compliance.
After Epic’s attorney’s fees and costs are awarded, see
15 U.S.C. § 26, judgment will be entered for Epic on
the Sherman Act, Cartwright Act, and UCL claims,
and this MDL member case, Epic Games, Inc. v.
Google LLC et al., No. 20-cv-05671-JD, will be closed.
IT IS SO ORDERED.
Dated: October 7, 2024
/s/
JAMES DONATO
United States District Judge
97a
APPENDIX D
_________
UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF CALIFORNIA
_________
IN RE GOOGLE PLAY STORE ANTITRUST LITIGATION
_________
MDL Case No. 21-md-02981-JD
Member Case No. 20-cv-05671-JD
_________
ORDER RE GOOGLE’S RENEWED MOTION
FOR JUDGMENT AS MATTER OF LAW OR
FOR NEW TRIAL IN EPIC CASE
_________
Filed: 7/3/24
_________
After 15 days of trial, a jury found in favor of
plaintiff Epic Games Inc. on its antitrust claims
against Google. See Dkt. No. 866.1 Google had moved
for judgment as a matter of law at an appropriate
stage of the trial, which the Court denied. Dkt. Nos.
825, 831. Google renewed the motion post-verdict
under Federal Rule of Civil Procedure 50(b), with a
motion in the alternative for a new trial under Rule
59. Dkt. No. 925. The Court denied both motions. Dkt.
1
All docket number references are to the ECF docket for In re
Google Play Store Antitrust Litigation, Case No. 21-md-02981JD.
98a
No. 951. This order provides a detailed explanation for
that decision.
BACKGROUND
The Court presented the background of this
multidistrict antitrust litigation in other orders. See,
e.g., Dkt. Nos. 383, 588. In pertinent part, Epic is a
well-known video game and software developer, and
its apps include Fortnite, a popular online game.
Fortnite can be played on a variety of consoles and
devices, including smartphones running the Android
mobile operating system.
Epic distributed a Fortnite Android app through the
Google Play Store for a handful of months starting in
April 2020, until Epic’s relationship with Google broke
down in August 2020. A particular sticking point was
Epic’s objection to Google’s requirement that Epic use
Google’s billing system and pay Google a 30% fee on
all in-app purchases made by Fortnite users. Epic
wanted to use its own in-app payment solution and
not pay Google a 30% cut, which Google refused to
allow. Epic then deployed a “hotfix,” which was in
effect a covert app update that allowed Fortnite users
to use Epic’s payment system. Google responded by
removing Fortnite from the Google Play Store.
On the day that Fortnite was removed from the
Google Play Store, Epic filed this lawsuit against
Google LLC and certain of its affiliates alleging that
Google had engaged in anticompetitive conduct in
violation of the antitrust laws in connection with the
Google Play Store. Dkt. No. 1. As alleged in its second
amended complaint (SAC), Epic presented claims
under Sections 1 and 2 of the Sherman Act, 15 U.S.C.
§§ 1, 2; the California Cartwright Act, Cal. Bus. &
99a
Prof. Code § 16700 et seq.; and the California Unfair
Competition Law (UCL), Cal. Bus. & Prof. Code §
17200 et seq. Dkt. No. 378. Epic sought injunctive
relief only, and no monetary damages. Id. Google filed
counterclaims against Epic, including for breach of
the Google Play Developer Distribution Agreement
(DDA). Dkt. No. 386.
Epic’s lawsuit was consolidated into a multidistrict
litigation action along with similar antitrust
complaints filed by Google Play Store users and
developers, and the attorneys general of many states.
A substantial period of litigation ensued for all of the
member cases, and several important issues were
resolved in the pretrial stage. One was a
determination that Google had willfully failed to
preserve
relevant,
substantive
business
communications that were made by employees on the
Google Chat system. This determination required an
extensive inquiry by the Court that culminated in an
evidentiary hearing featuring witness testimony and
documents, and extensive findings of fact. See Dkt.
No. 469. Testimony at trial adduced even more
troubling evidence of improper assertions of the
attorney-client privilege by Google’s employees,
including its CEO, to keep communications secret,
and a widespread understanding within the company
that discussions of sensitive topics should be done in
a way that evaded preservation. See, e.g., Trial Tr. at
964:21-23, 991:16-992:8, 1075:20-1076:12, 1321:1724. 2 Another important pretrial determination was
2
“Trial Tr.” references are to the trial transcript, which
consists of 17 volumes with 3,442 total pages that are
consecutively numbered. The transcript can be found at Dkt. No.
100a
whether Google could evade a jury altogether by
asking for a bench trial at the very last moment. The
Court concluded, based on Google’s own conduct, that
it had consented to a jury trial. See id. at 6:13-7:16.
In time, the other cases went into settlement
proceedings. Epic’s case was tried by a jury of nine
citizens in November and December 2023. The parties
put on forty-five witnesses, including nine expert
witnesses, over the course of fifteen days of testimony.
More than three
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