Court Rules in Favor of Epic Games in Google Antitrust Case

Epic Games has prevailed against Google in U.S. District Court, scoring a victory in the 2020 lawsuit filed against the search giant over antitrust behavior related to its Google Play store. Epic claims that Google leverages control over the Android mobile operating system to require content creators who want a presence on an estimated 71 percent of the world’s smartphones to sell through the Play Store. The verdict “proves Google’s app store practices are illegal and they abuse their monopoly to extract exorbitant fees, stifle competition and reduce innovation,” Epic wrote of the win. Google disagrees with the ruling and says it plans to appeal. Continue reading Court Rules in Favor of Epic Games in Google Antitrust Case

SCOTUS Limits Enforcement of Foreign Trademark Violations

The world was a much smaller place in 1946 when Congress passed the Lanham Act, the legal framework for U.S. trademark protection. Last week, the Supreme Court decided the Lanham Act is applicable almost exclusively to infringement on U.S. soil. Companies that expect to rely on Lanham to protect foreign trademark violations through U.S. lawsuits are well-advised to come up with another plan. Until Congress updates the code. Led by Sonia Sotomayor, four justices said it was appropriate to adopt a broader standard “when there is a likelihood of consumer confusion in the United States.” Continue reading SCOTUS Limits Enforcement of Foreign Trademark Violations

FTC Sues Amazon Over Deceptive Practices Involving Prime

The Federal Trade Commission has filed suit against Amazon, alleging the e-commerce giant surreptitiously enrolled millions of people in the $139 per year Amazon Prime program, and once subscribed made it difficult for them to cancel. “Amazon tricked and trapped people into recurring subscriptions without their consent, not only frustrating users but also costing them significant money,” FTC Chair Lina Khan said, citing “deceptive user-interface designs known as ‘dark patterns’ to trick consumers into enrolling in automatically renewing Prime subscriptions.” Continue reading FTC Sues Amazon Over Deceptive Practices Involving Prime

Music Publishers Take On Twitter for Copyright Infringements

Twitter is being sued for more than $250 million in damages by a coalition of music publishers alleging copyright violations. More than a dozen plaintiffs — including Universal Music, EMI, Kobalt and Sony — are captioned on the complaint, which was coordinated by the National Music Publishers’ Association and filed last week in federal court in Tennessee listing Elon Musk’s X Corp. and Twitter as defendants. The complaint claims songwriters are owed compensation for music-backed videos posted to the platform. The litigation is the latest financial woe for Twitter, which Musk purchased for $44 billion last year. Continue reading Music Publishers Take On Twitter for Copyright Infringements

SEC Provides Binance a Lifeline as It Pursues Fraud Charges

A federal court has approved an agreement between Binance co-founder and CEO Changpeng Zhao and the Securities and Exchange Commission that will allow the embattled cryptocurrency firm to continue operating while fighting an SEC civil fraud lawsuit, the outcome of which may determine the future of the crypto business in the United States. Filed June 5, the Binance charge rocked an industry already reeling from market turmoil and SEC complaints against Coinbase and the founder of FTX. The SEC initially moved to freeze Binance’s U.S. assets, but the company said that would put it out of business here. Continue reading SEC Provides Binance a Lifeline as It Pursues Fraud Charges

Supreme Court Sides with Social Media Platforms on Liability

The U.S. Supreme Court opted to uphold the status quo as concerns Section 230 of the Communications Decency Act, opting in two separate cases not to strike down as unconstitutional the statutory provision that shield social media platforms from liability for user posts. The rulings, which involved Google, Twitter and Facebook, were greeted with relief by Big Tech. Although Congress has been vocal about paring back Section 230, a change in the law would be far less disruptive than the seismic aftershocks that would inevitably have been triggered by a reversal. Continue reading Supreme Court Sides with Social Media Platforms on Liability

Twitter Roiled by Layoff Talk as Deadline for Musk Deal Looms

Employees at Twitter are reeling following revelations that the workforce may face massive cuts in the year ahead regardless of who owns the company. According to documents obtained by The Washington Post, Twitter’s current management plans to trim the payroll by about $800 million, representing nearly 25 percent of the company’s staff. However, Twitter denies that report. Meanwhile, Elon Musk, who is being sued to force consummation of his $44 billion Twitter purchase, is said to be contemplating elimination of three times as many jobs. Continue reading Twitter Roiled by Layoff Talk as Deadline for Musk Deal Looms

Google, Meta Among Big Tech Firms Cutting Costs and Staff

Meta Platforms is planning staff reductions as part of a 10 percent cost reduction goal, reports say. Stalled growth and increased competition are among the reasons cited by 20 additional tech firms who have since the summer been contracting their workforce. In the case of Meta, it appears to also be a matter of reallocating funds so as not to drastically scale back its metaverse ambitions. Departments there are being reorganized and affected workers are being encouraged to apply for other jobs within the company. Word is Alphabet’s Google is also seeking to fill vacancies by reassigning existing staff. Continue reading Google, Meta Among Big Tech Firms Cutting Costs and Staff

Meta Tentatively Settles the Cambridge Analytica Privacy Suit

Meta Platforms has agreed to settle a lawsuit brought by users who accused its Facebook platform of improperly sharing personal data with third parties including, most notoriously, the now-defunct Cambridge Analytica. Financial details were not disclosed, but on Friday both Meta and the plaintiffs said in a joint filing in San Francisco federal court that the parties reached a tentative settlement. The UK-based Cambridge Analytica shuttered in 2018 after a scandal involving use of Facebook data to influence voters in the 2016 U.S. presidential election. Continue reading Meta Tentatively Settles the Cambridge Analytica Privacy Suit

Australia’s Highest Court Rules Google Links Not Defamatory

In a major reversal, Australia’s highest court found Google not liable for defamatory content linked through search results, ruling that the Alphabet subsidiary “was not a publisher” of the objectionable content. Google was sued for defamation for a 2004 article appearing in its search engine results, and both the trial court and a circuit court of appeals held Google responsible as a “publisher” because it was instrumental in circulating the contents of the offending article. The lower courts rejected Google’s reliance on the statutory and common law defenses of innocent dissemination and qualified privilege. Continue reading Australia’s Highest Court Rules Google Links Not Defamatory

Elon Musk Notifies Twitter of Plan to Cancel Acquisition Deal

Elon Musk is attempting to terminate his $44 billion deal to acquire social giant Twitter. Musk’s attorneys claimed in a regulatory filing that Twitter was in “material breach of multiple provisions” of the purchase agreement and “appears to have made false and misleading representations.” According to Twitter board chairman Bret Taylor, “The Twitter board is committed to closing the transaction on the price and terms agreed upon with Mr. Musk and plans to pursue legal action to enforce the merger agreement.” The deal includes a $1 billion “breakup fee” and the company can hold the billionaire to his original agreement by taking him to court. Continue reading Elon Musk Notifies Twitter of Plan to Cancel Acquisition Deal

Google Revamps News Display, Works to Settle EU Disputes

Google News is trying to keep peace with publishers while adding functionality to its feed with a revamped desktop that lets users customize up to three topics on the home screen. For example, Local News, World News and Top Picks can be set to display across three-columns. Meanwhile, the global payment battle between content providers and Alphabet’s aggregator has achieved closure in France, where the competition authority said a settlement has been reached after a two-year legal battle and a $525 million fine. Terms include a pledge from Google to give news providers estimates of indirect revenue generated from news content that appears in its search results. Continue reading Google Revamps News Display, Works to Settle EU Disputes

Meta Platforms Will Adjust Ad Tech per Agreement with DOJ

Meta Platforms has agreed to change its advertising technology and pay a $115,054 fine to settle a Justice Department claim of race and gender discrimination by the algorithm used to display its housing ads. “Meta will — for the first time — change its ad delivery system to address algorithmic discrimination,” U.S. attorney for the Southern District of New York Damian Williams said in a statement. “But if Meta fails to demonstrate that it has sufficiently changed its delivery system to guard against algorithmic bias, this office will proceed with the litigation.” Continue reading Meta Platforms Will Adjust Ad Tech per Agreement with DOJ

Stock Volatility at Twitter and Tesla Roil Musk’s Buyout Plans

Twitter’s tumbling stock price has spectators second-guessing Elon Musk’s motives in demanding more information for the acquisition deal to proceed. The billionaire’s “best and final” offer of $54.20 per share is now looking like a rich deal for Twitter, which has been hovering at about $38 per share. The Twitter board is understandably intent on keeping the $44 billion offer and $1 billion breakup fee in place, even as Musk tweeted ““this deal cannot move forward” until he sees proof of the company’s claim that spam and bots account for less than 5 percent of users. Continue reading Stock Volatility at Twitter and Tesla Roil Musk’s Buyout Plans

Passage of California Prop 22 Is Big Victory for Gig Economy

California voters overwhelmingly approved Proposition 22, which will allow gig workers for Uber, Lyft, DoorDash and others to remain independent contractors. These three companies created the proposition to exempt them from a state labor law that would require them to treat drivers as employees and pay for healthcare, unemployment insurance and other benefits. Proposition 22 does include a wage floor and some benefits for drivers. San Francisco, headquarters for Uber and Lyft, presented the strongest opposition. Continue reading Passage of California Prop 22 Is Big Victory for Gig Economy