Match Group and Google have reached an interim compromise over app payments.
Match has withdrawn its request for a temporary restraining order against the company, which it accuses of wielding unfair monopoly power in its mobile app marketplace. Match filed an antitrust lawsuit against the search giant earlier this month over the company’s restrictions on Android in-app payments, which drive app users toward remaining in its mobile ecosystem. The company filed the temporary restraining order request a day after suing Google.
Match cited a handful of “concessions” from Google in its decision to withdraw the restraining order request, including assurances that its apps would not be rejected or deleted from the Google Play Store for providing alternative payment options. The company will also place up to $40 million aside in an escrow account in lieu of paying fees to Google directly for Android app payments that happen outside of Google Play’s payment system, arguing that those fees are “illegal under federal and state law.” The escrow account will remain in place while the case awaits its day in court.
Match’s lawsuit is the most recent example of app makers objecting to Google and Apple’s practice of extracting steep fees for in-app payments. Developer frustration around the issue boiled over two years ago when Epic Games sued Apple for antitrust violations, a case that didn’t result in a straightforward victory for either side but did force Apple to allow developers to offer their users alternative payment options.