The Original Injunction Still Stands & Judge Donato Is Not Buying the Sweetheart Deal
There was significant anticipation around yesterday’s Epic v Google hearing. While an immediate ruling was never expected—the court typically takes weeks to issue decisions—the hearing still provided important signal through the questions asked and positions taken. Below is our summary of where things stand.
Background + Recap: The Status Quo vs. the Proposed Deal
In 2020, Epic Games sued Google over its app store monopoly and ultimately prevailed. Judge James Donato issued a sweeping injunction that materially opened up the Android ecosystem—banning anti-steering practices and untying Google Play distribution from Google Play Billing (effective Oct 2024 / 2025).
Days later, Epic and Google jointly proposed a settlement that, while expanding scope globally, rolled back key economic outcomes of the injunction—most notably by introducing a new fee framework that would allow Google to charge a 9–20% “distribution fee” on linked-out purchases.
The January 22 Hearing: Skepticism and Key Revelations
The hearing made clear that Judge Donato is highly skeptical of the proposed settlement, repeatedly questioning whether it serves the broader public interest or merely reflects a private agreement between two counterparties.
$800M Commercial Deal Disclosure
The court revealed a previously undisclosed $800 million commercial partnership between Epic and Google. Judge Donato explicitly treated this as potential quid-pro-quo territory—the exact type of “sweetheart deal” that could trade away broader developer protections.
No Immediate Approval
Judge Donato neither approved nor rejected the settlement. Instead, he requested additional briefing by early March, materially slowing the process. The FTC has also formally objected, citing “serious concerns.”
Key Takeaways for Developers
The Original Injunction Still Applies
The October 2024 injunction remains in force. Google cannot tax link-outs or impose anti-steering restrictions on developers in the U.S. The “settlement world” remains hypothetical.
Approval Faces Meaningful Headwinds
The court’s skepticism, the late disclosure of the $800M commercial agreement, expert testimony, and formal FTC opposition all point in the same direction: approval is far from straightforward. This isn’t a timing issue; the pause reflects substantive concerns that could materially reshape or block the proposed deal.
January 29 Policy Is Operational, Not Economic
Google’s “external content links program” enrollment deadline is January 28, and its technical framework can proceed. However, Google has explicitly stated that it is not currently assessing fees and cannot impose the proposed 9–20% distribution fees on linked-out purchases unless and until the settlement is approved. For now, enrollment functions as an operational placeholder.
What developers should do now
While the legal process plays out, developers don’t need to wait on policy certainty to move forward. The current injunction already creates real room to act. The focus now should be execution, not speculation.
Treat link-outs and web checkout as live options
The injunction is in force. Developers can design and test compliant web checkout flows today—without assuming new distribution fees or waiting on settlement outcomes.
Build DTC around value, not discounts
The strongest DTC programs are winning on:
- content and bundles
- loyalty and progression
- player experience and trust
You can find more information on modeling DTC ROI from our Chief Product Officer (former President, Games, Scopely) Spencer Tucker in our recent blog.
Invest in mobile-native web experiences
Many early DTC efforts failed because they relied on web-first tools retrofitted to games. Conversion depends on:
- fast load times
- low-friction checkout
- mobile-optimized UX built for players, not browsers
Learn how our partner Superplay is tackling friction in their player experience in a recent episode of Secret Stash.
Choose partners built for regulatory volatility
Policy uncertainty isn’t new in games, and it won’t be the last time teams have to adapt mid-stream. The practical response isn’t to pause—it’s to build on tooling that can flex as rules evolve. At Stash, we’ve designed our DTC stack with regulatory variability in mind, so teams can ship, iterate, and adjust without re-architecting their setup every time the landscape shifts.
The Bottom Line
The practical takeaway is simple: nothing has changed for developers. The injunction is active, Google cannot impose new economic terms today, and Android remains more open than it has been in years. The settlement, if it moves forward at all, will take time and faces real scrutiny. Teams that wait for full resolution risk sitting out a window that already exists.
If you’re evaluating or actively building web checkout and DTC today, this is the moment to design it right.
