192 – Breaking News & Latest Updates 2026
Skip to main content

Sean Hollister

Sean Hollister

Senior Editor

Senior Editor

    More From Sean Hollister

    Sean Hollister
    Sean Hollister
    Google’s chief legal officer has been summoned to Epic court to explain himself.

    Something I missed this AM but confirmed with three sources: Judge Donato is not at all happy with Google about the testimony of its employees (including lawyers!) in the courtroom — as Epic has increasingly shown they ignored or joked or seemed unaware of their obligations to preserve evidence.

    So unhappy that he’s considering a mandatory jury instruction — which might tell the jury not to trust Google as much as they otherwise might — unless Google’s chief legal officer Kent Walker shows up Thursday at 3PM PT and can properly explain this mess.

    Sean Hollister
    Sean Hollister
    More Google arguments why contracts are important and good.

    Kolotouros told Google lead attorney Glenn Pomerantz:

    ➼ Offering Android for free helps Google compete with Apple because other companies can focus on building the hardware and apps instead of a whole operating system

    ➼ MADA includes tools that help devs make higher-quality apps

    ➼ Google’s APIs ensure apps are working as users expect

    ➼ These contracts make sure OEMs give you bimonthly security updates — “no less than 6 security updates in a calendar year.”

    Google also pointed out that companies beyond Epic have managed to get their apps preinstalled on Android phones, like Facebook and LinkedIn. I now wonder what Meta, Microsoft, and OEMs paid or gave up for that to happen.

    Sean Hollister
    Sean Hollister
    “They’re much more likely to go back to an iPhone, in my opinion.”

    It’s Google’s turn to question its VP of Android platform partnerships, and as usual, it’s focused on explaining to the jury why all these payments and contracts make sense if you’re trying to compete with the iPhone. This specific Kolotouros answer was to a question about what would happen if an Android app didn’t have Google’s contractually required apps out of the box.

    I’m receptive to this argument: we at The Verge have decried fragmentation and bloatware for years, often asking why OEMs insist on reinventing the wheel by bundling apps that perform worse than the de facto platform defaults. But I didn’t know Google paid so much to keep it from being so.

    Sean Hollister
    Sean Hollister
    “I’ve worked so hard to do good for Google and protect Google... and I get treated so badly.”

    While Jim Kolotouros’ chat history may have been deleted, his disgruntled comment-filled notepad file has been shared in court.

    Comments include:

    “Lack of honesty at Android leadership. Lie to your face and stab you in the back.”

    “I am loyal to Google; not any person”

    “Andy Rubin culture is rampant; but more passive aggressive, and not out in the open”

    “Why am I doing this? To protect Joan the billionaire?”

    “Why am I defending these people?”

    He also mentions protecting “Jamie,” who we’ve heard is his boss, Jamie Rosenberg... and who just so happens to be testifying after him in court today.

    Sean Hollister
    Sean Hollister
    “You can’t think of a single instance where you turned your chat history on, right?”

    “That is right,” answers Kolotouros. Sounds familiar. Wonder how Google is going to explain all this potentially deleted evidence to the jury in a way that sticks. So far, it hasn’t done a great job.

    Sean Hollister
    Sean Hollister
    Samsung’s understanding of Project Banyan was “prevent unnecessary competition on store.”

    “That was Samsung’s frame, that is correct,” says Kolotouros.

    Samsung’s counteroffer included: “Utilize Google IAP as the main payment module on Galaxy Store.” Samsung was willing to give Google a cut of in-app purchases, that means.

    Instead, Google did three other deals with Samsung in 2020 worth $8 billion, Kolotouros agreed. We didn’t get all the details.

    “Play Store will still be distributed and placed on the default home screen for all devices via the MADA, but there is room for Samsung to also add the Galaxy Store,” reads an executive summary. “This saves us $1.0B over 4 years.”

    Sean Hollister
    Sean Hollister
    “Samsung devices are responsible for half or more of the revenue Google receives from Google Play, right?”

    Yes, says Kolotouros.

    That’s why, in February 2019, Google proposed Project Banyan, aka “How do we continue to keep Play as the preeminent distribution platform for Android?” Or at least that’s the first page of a slide deck about Banyan.

    It was a short-lived attempt: after Samsung’s June 2019 counteroffer, Google gave up on it, Kolotouros says.

    Sean Hollister
    Sean Hollister
    OnePlus needed permission from Google to preinstall Fortnite on its phones.

    And Google didn’t grant it. OnePlus would have had to give up substantial Google revenue share just to ship phones with the Epic Games Store / Fortnite launcher app needed to install the game.

    “They needed permission in form of a waiver from Google to do this, yes?” Yes, answered Kolotouros. The only way to preload was to give up its Premier rev share, he agreed.

    Sean Hollister
    Sean Hollister
    Here is how much revenue Google shares with OnePlus to control its preloaded apps.

    20 percent of “net basic ad revenue”

    10 percent of “net optimized ad revenue”

    5 percent of “net optimized Play transaction revenue”

    15 percent of “net premier ad revenue”

    20 percent of “net Play transaction revenue”

    This is from Google and OnePlus’ RSA 3.0 agreement.

    Sean Hollister
    Sean Hollister
    Here is what Google planned to offer OEMs to preload Google Play and apps:

    As part of an executive summary titled “We are fine-tuning Android Search Rev share (ex Samsung) to protect Google from key strategic risks),” Google CFO Ruth Porat and others were presented with this ask:

    Ask: Spend $2.9B in total in 2020 (+141M to status quo) growing to $4.5B (+$600M) in 2023 across Search and Play for carriers and non-Samsung OEMs to secure platform protections for Search, and Play and critical apps protections on more devices

    Google planned to specifically offer revenue to phone manufacturers to “secure Play exclusivity,” among other things:

    *Offer up to 16% Play rev share to OEMs (16% to key CN OEMs, 4-8% to smaller OEMs) spending est. $35M 2020 and up to $224M in 2023 (steady state) in addition to the bonus tier of current RSA to secure Play exclusivity, Android upgrades, and distribution for critical apps (Comms suite, Pay, Photos, Gmail, Gcal, Discover suite)

    And as we’re seeing now, Google went through with these deals, calling them RSA 3.0.