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U.S. District Judge James Donato, a seasoned competition law expert, is set to determine the future course of Alphabet’s Google Play store. The recent jury ruling favored “Fortnite” creator Epic Games, asserting that Google unlawfully restricted rival Android app stores and mandated developers to utilize its payment system for in-app transactions.
The Arbiter of Change
Judge James Donato, a 2014 appointee during the Obama administration, is poised to arbitrate the dispute between Epic Games and Google. He is expected to weigh arguments from both sides in the coming month as Epic proposes strategies to dismantle Google’s alleged monopoly. Donato expressed confidence in the evidence presented by Epic during the month-long trial, setting the stage for a potential restructuring of Google’s app distribution policies.
Google’s Defense and the Road Ahead
Despite the jury’s decision, Google staunchly denies wrongdoing and plans to appeal the verdict. The repercussions of Donato’s decision on Google’s penalties are anticipated to be protracted, entwined in the appellate process. The search giant remains resilient, maintaining its innocence and signaling a prolonged legal battle.
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The Antitrust Expert
Before donning the judicial robes, Donato, now 63, served as an antitrust specialist at prestigious law firms Shearman & Sterling and Cooley. His clientele included technology firms and medical device manufacturers such as Nvidia and Tyco Healthcare. He led United Airlines in an unsuccessful antitrust lawsuit challenging its $8.5 billion merger with Continental in 2010.
Connections in the Legal Landscape
The Epic Games vs. Google case rekindled connections from Donato’s past, notably with Google’s President of Global Affairs, Kent Walker, a former Stanford Law School classmate. During the trial, Donato scrutinized Walker on Google’s handling of internal chat logs, a matter he later deemed as “the most serious and disturbing evidence” in his decade-long judicial career.
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A History of Blunt Adjudication
Known for his candid approach, Donato has previously criticized “sweetheart” corporate settlements and, in 2021, withheld approval of a $650 million Facebook consumer privacy settlement until better methods for alerting beneficiaries were proposed. In another instance, he chastised plaintiff attorneys in an antitrust case against Facebook, even threatening to appoint new leaders for the patient.
The Road Ahead
Donato is scheduled to preside over the next phase of the Epic vs. Google battle on January 11, where both parties will discuss the forthcoming steps in the case. As the legal saga unfolds, Judge Donato’s decisions hold the key to reshaping the dynamics of app distribution and competition within the tech industry.
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