Epic Games Accuses Samsung, Google of Scheme to Block App Rivals

 Fortnite game installing on Android operating system in this illustration taken, May 2, 2021. (Reuters)
Fortnite game installing on Android operating system in this illustration taken, May 2, 2021. (Reuters)
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Epic Games Accuses Samsung, Google of Scheme to Block App Rivals

 Fortnite game installing on Android operating system in this illustration taken, May 2, 2021. (Reuters)
Fortnite game installing on Android operating system in this illustration taken, May 2, 2021. (Reuters)

“Fortnite” video game maker Epic Games on Monday accused Alphabet’s Google and Samsung, the world’s largest Android phone manufacturer, of conspiring to protect Google’s Play store from competition.

Epic said it would file a lawsuit in US federal court in California alleging that a Samsung smartphone security feature called Auto Blocker was in truth intended to deter users from downloading Android apps from sources other than the Play store or Samsung's Galaxy store, which the Korean company elected to put on the back burner.

Samsung and Google are violating US antitrust law by reducing consumer choice and preventing competition that would make apps less expensive, Epic said.

The game company said Samsung's Auto Blocker was designed to blunt the impact of a US verdict that Epic won against Google in December 2023 that is expected to force the company to make apps easier to obtain from other sources.

Epic said it will also raise its competition concerns with regulators in the European Union, which has long scrutinized Google’s business practices.

Epic Chief Executive Tim Sweeney called the lawsuit part of a "major global fight" to defend competition and its benefits for consumers.

Samsung introduced Auto Blocker on its smartphones in late 2023 as an opt-in feature to protect users from downloading apps that may contain malware. Epic said Samsung made Auto Blocker the default setting in July and intentionally made it difficult to disable or bypass.

Cary, North Carolina-based Epic Games sued Google in 2020, claiming it stifled competition through its controls over app distribution and payments.

In that case, US District Judge James Donato in San Francisco is weighing what changes the company must make to its app business after the jury's December finding that it held an illegal monopoly.



Apple Sales Fall y/y on China's Singles' Day, Huawei Up 7%

FILE PHOTO: A Chinese flag flutters near a Huawei store in Shanghai, China September 8, 2023. REUTERS/Aly Song/File Photo
FILE PHOTO: A Chinese flag flutters near a Huawei store in Shanghai, China September 8, 2023. REUTERS/Aly Song/File Photo
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Apple Sales Fall y/y on China's Singles' Day, Huawei Up 7%

FILE PHOTO: A Chinese flag flutters near a Huawei store in Shanghai, China September 8, 2023. REUTERS/Aly Song/File Photo
FILE PHOTO: A Chinese flag flutters near a Huawei store in Shanghai, China September 8, 2023. REUTERS/Aly Song/File Photo

Apple sold fewer smartphones during China's Singles' Day shopping festival this year as it faced pressure from an "abnormally high" number of rival handsets launched around the event, Counterpoint Research said on Wednesday.

The iPhone manufacturer saw its sales decline year-on-year by "double digit percentages" from Oct. 18 to Nov. 10, the research consultancy said. In comparison, its main rival in China, Huawei, recorded 7% sales growth, fueled by price cuts on its Pura 70 and Mate 60 models.

Xiaomi also saw sales decline, with volumes falling 6%, Reuters reported.

"To capitalize on one of the biggest sales festivals of the year, major Chinese OEMs (manufacturers) except Huawei launched their latest flagships ahead of the festival," Counterpoint said, describing this as a key reason for Apple's decline. Only Xiaomi did so last year, it noted.

Huawei declined to comment. Apple and Xiaomi did not immediately respond to requests for comment.

Overall, smartphone sales in China during the event, the country's biggest online shopping festival, fell 9% year-on-year as a slowing economy weighed on consumer enthusiasm despite the promotions, Counterpoint said.

Apple's Singles' Day performance underscores the growing competition it faces in the world's largest smartphone market, especially from Huawei which has come back strongly in the premium segment.

The US tech giant has since responded with multiple discount campaigns to boost sales. Apple's iPhone 16 Pro and the iPhone 16 Pro Max were the festival's best selling models, Counterpoint said.

China's e-commerce platforms such as Alibaba and JD.com did not release sales figures for the festival, having dropped the practice in 2022, but Alibaba said Apple and Xiaomi were among brands that surpassed 1 billion yuan in gross merchandising value.