May 9, 2025 — Santiago, Chile — Chile’s National Economic Prosecutor’s Office (FNE) has filed a landmark lawsuit against Google, accusing the tech giant of abusing its dominant position in the Android mobile ecosystem and requesting a fine of US$89 million.
The complaint, lodged with Chile’s Antitrust Court (Tribunal de Defensa de la Libre Competencia, TDLC), alleges that Google engaged in anticompetitive practices that restricted competition in both the app distribution market and the market for paid digital goods within apps.
According to the FNE, Google has maintained overwhelming control in Chile’s Android app environment, with an estimated 95% market share in app distribution and over 99% share in distributing paid digital goods via its Google Play platform. The agency argues that Google used its dominance to implement restrictions that have harmed both developers and consumers since at least 2019.
The case stems from a 2022 complaint by a private individual concerning app distribution practices across Apple’s iOS and Google’s Android systems. The FNE subsequently launched separate investigations, concluding that Google’s behavior in the Android ecosystem violated Chilean competition law.
Alleged Anticompetitive Conduct
The FNE claims that Google imposed contractual and technical barriers that discouraged competition and entrenched Google Play’s dominance. These include requiring phone manufacturers to prominently preinstall the Play Store as a condition for distributing other Google apps, blocking rival app stores from being distributed through Google Play, and making it difficult for users to download apps or alternative stores via the web.
In addition, Google allegedly forced app developers to use its proprietary billing system for in-app purchases and subscriptions, while prohibiting them from promoting or linking to external payment options—a practice the FNE argues restricted both consumer choice and competition.
“These anticompetitive practices have enabled Google to consolidate Google Play as the primary app distribution channel and have curtailed developers’ and consumers’ options for distributing and accessing digital goods within apps,” said Acting National Economic Prosecutor Felipe Cerda. “Dominant firms are subject to a special responsibility not to distort competition.”
Remedies and Sanctions
The FNE is seeking a fine of 101,482 Annual Tax Units (UTA), roughly equivalent to US$89 million, and has called on the Court to impose sweeping behavioral remedies. These include:
- Prohibiting Google from tying access to its services to preinstallation requirements for Google Play.
- Allowing third-party app stores to be distributed via Google Play.
- Removing barriers that discourage downloading apps outside of Google Play.
- Letting developers use alternative billing systems and inform users of them inside and outside the app.
- Requiring good-faith compliance with all remedial measures, without imposing technical or contractual obstacles that undermine their effect.
The lawsuit marks one of Chile’s most significant antitrust actions against a global technology firm and aligns with broader international scrutiny over Big Tech’s business practices.
Google has not yet publicly responded to the lawsuit.
