Google Play store reveals revenue for first time; earns $11.2 bn in 2019, reveals lawsuit against Google

Google generated $11.2 billion in revenue from its mobile app store in 2019. According to a court document revealed on 28th August, the Tech Giant presented a detailed look into the service’s financial results for the first time.

Attorneys general for Utah and 36 other U.S. states or districts are suing Google over alleged antitrust violations with the app store. In a newly provide document with confidential or sensitive information included, also stated that the company made $8.5 billion in gross profit and $7 billion in operating income in 2019, for an operating margin of over 62%.

Google combined Play app income with that of other services in its quarterly financial reports, and accounts for the store’s ad revenue as part of another wider category. App store advertisements, in-app purchases, and app store sales are all included in the numbers.

Nevertheless, according to reports Google commented that the data “are being used to mischaracterize our business in a meritless lawsuit.” However, a trial in late 2022 to decide whether Google exploits its monopoly in app sales for Android devices or not as stated by the firm and its accusers in a separate filing on Saturday.

Attorneys general, as well as mobile app maker Epic Games and others, have claimed that Google makes a lot of money off the Play Store because it takes 30% of the charge for every digital product sold inside Google Play store. The plaintiffs allege that the Tech Giant’s share is excessively high and is simply siphoning money off the app creators.

Alternatives to Google’s shop and payment methods, exist, however opponents say they are impractical and have been banned in the past. Plaintiffs claim that Google used anticompetitive agreements to provide advantages to and put limits on big companies such as Riot Games, the creators of “League of Legends,” in order to keep them from leaving the Play Store.