In a significant development, Telefónica, one of the largest carriers in the world, has partnered with Epic Games to preinstall the Epic Games Store on millions of Android phones, including Samsung devices, in the UK, Germany, Spain, and Latin America. This move marks a major milestone in Epic's quest to challenge Google's app store monopoly and increase its revenue share.
The partnership, announced by Telefónica and Epic, will see the Epic Games Store come preloaded on every new compatible Android phone sold by the carrier, including Samsung devices. This is the first time the Epic Games Store will be preinstalled on consumer phones, and it could be a game-changer for the gaming industry.
The move is seen as a significant blow to Google's dominance in the app store space. Last December, a federal jury sided with Epic Games in its lawsuit against Google, finding that the tech giant had turned its Android app store and Google Play Billing service into an illegal monopoly. Epic had alleged that Google had "blocked" or "bribed" phonemakers and cellular carriers to keep games like Fortnite and alternative app stores from being preinstalled on phones.
Although Judge James Donato barred Google from further potential blocks or bribes, Telefónica's decision to partner with Epic Games is not a direct result of the court order. Epic spokesperson Natalie Muñoz confirmed to The Verge that Telefónica wasn't one of the carriers that Google "bribed," and the partnership is a result of the carrier's willingness to work with Epic.
Telefónica has a history of partnering with Epic Games. In 2020, the carrier began letting Movistar customers in Spain tack their Fortnite purchases onto their phone bill, earning a 5% commission on the proceeds. It's unclear whether other carriers, such as Verizon and Hutchison (Three, Wind Tre), will follow suit.
The implications of this partnership are far-reaching. With the Epic Games Store preinstalled on millions of Android phones, Epic Games could potentially increase its revenue share and challenge Google's dominance in the app store space. The move could also pave the way for other alternative app stores to emerge, further fragmenting the market.
It's worth noting that Samsung, one of the phone manufacturers affected by the partnership, is currently being sued by Epic Games. The lawsuit, filed in September, alleges that Samsung failed to comply with Epic's demands to preinstall the Fortnite installer app on its devices.
As the gaming industry continues to evolve, this partnership between Telefónica and Epic Games could be a significant turning point. With the Epic Games Store set to be preinstalled on millions of Android phones, the stage is set for a major showdown between Epic and Google. The outcome could have far-reaching implications for the entire tech industry.