Google Claims Match Group Owes $84 Million in Antitrust Battle
Google has filed a new motion to the court in its antitrust battle with Epic Games and Match Group, where it claims that the dating app maker owes additional fees beyond the $40 million that had been previously set aside in escrow. Those funds are Google’s cut of Match’s in-app payments on Google Play that Match argues are “illegal under federal and state law” — something the court case will decide. By Google’s calculations, the new figure should total around $84 million instead, based on Match’s public earnings.
A Contentious Legal Battle Unfolds Between Google and Match Group
Google and Match Group continue to clash in their legal dispute over alleged antitrust and monopolistic practices. In May 2022, Google and Match reached an agreement through a stipulation that allowed Match to continue distributing its apps on the Google Play Store despite its noncompliance with Google’s payments policies. As part of this agreement, Match was required to pay $40 million in payments to escrow, which was intended to cover Google’s share of Match’s in-app payments. However, Google now claims that the fees owed by Match significantly exceed the amount held in escrow.
Escrow Account Not Enough to Settle Financial Dispute
The escrow account, which held $40 million, was one of Google’s concessions to persuade Match to drop its temporary restraining order and continue allowing Match-owned apps on the Google Play Store. Match argued that Google’s commissions on in-app purchases were unlawful, and the court case would determine the legality of these charges. However, Google’s recent filing states that the $40 million in escrow falls short of the actual amount owed by Match Group.
Google Seeks to Recover Additional Fees Based on Match’s Public Earnings
In its filing, Google points to Match Group’s shareholder letter for Q2 2022, in which the company suggests that Google’s policy change would have a negative impact on its Q2 Adjusted Operating Income. Google argues that Match owes $6 million in fees, reflecting the estimated negative impact, for each month over the past 14 months, totaling $84 million. With only $40 million held in escrow, Google intends to pursue counterclaims in an attempt to recover the full amount it believes it is owed by Match.
The Path Ahead
The legal battle between Google and Match Group shows no signs of resolution in the near future. While the $40 million held in escrow was intended to settle the dispute, Google’s claim for an additional $84 million further intensifies the ongoing conflict. As the court case progresses, both parties will continue to present their arguments and fight for their financial interests.
The clash between Google and Match Group over antitrust allegations appears far from over. Google’s motion to recover additional fees from Match Group demonstrates the extent of the financial disagreements between these tech giants. As the court proceedings unfold, the outcome of the case will have implications for the app marketplace and potentially reshape the relationships between app developers and digital platforms.
Match Group has yet to comment on Google’s claims.