In a recent development concerning the Google Search antitrust case, ACT | The App Association has submitted an amicus brief highlighting potential negative impacts on small and medium-sized technology businesses. The association is concerned about the proposed remedies by the U.S. Department of Justice and the State of Colorado.
The association argues that the proposed remedies could create uncertainty for app developers and disrupt existing business relationships. Small app developers have established their businesses using technical specifications and tools provided by platforms like Google Play Store and Chrome Web Store. A forced divestiture of these products would necessitate maintaining relationships with multiple providers, each with its own technical specifications and compliance rules, potentially increasing overhead costs beyond what many can afford.
Additionally, the association points out that new notification requirements could stifle innovation in emerging technology markets and impede acquisitions of small app developers. These requirements would impose significant costs on startups in fields such as generative AI (GAI). In a rapidly evolving sector like AI, costly and slow-to-resolve notification requirements could hinder deals and suppress innovation.
Morgan Reed, President of the App Association, stated: “Our members have a strong interest in ensuring the antitrust laws are properly applied to the mobile ecosystem to promote competition and increase economic activity.” He added that if implemented, "the proposed remedies would disrupt the technical and commercial relationships between thousands of small app developers and Google," leading to increased costs and drained resources for innovation. Reed urged the court to adjust the remedies to focus specifically on findings from the case while avoiding broader disruptions to the mobile ecosystem.
For more details on this issue, interested parties can read the full brief titled "Amicus-Curiae-Brief-of-Act-the-App-Association.pdf."