Google Settles Android Data Transfer Lawsuit for $135 Million

• Users alleged Google collected cellular data even when apps were closed, location-sharing was disabled, or screens were locked, using it for product development and targeted advertising
• Individual payments are capped at $100 per class member, while plaintiffs' lawyers may seek up to $39.8 million (29.5%) in legal fees from the settlement fund
• Google will now require consent during phone setup, provide easier toggle controls to stop data transfers, and disclose data collection practices in Google Play terms of service

Google Settles Android Data Collection Lawsuit for $135 Million

Google's parent company Alphabet has agreed to pay $135 million to settle a class action lawsuit alleging unauthorized cellular data collection from Android smartphone users. The preliminary settlement, filed January 28 in San Jose federal court, requires judicial approval.

Key Details:

The lawsuit accused Google of programming Android to collect users' cellular data without permission, even when apps were closed, location-sharing was disabled, or screens were locked. The claim covers all Android device users since November 12, 2017.

Plaintiffs alleged Google used this purchased cellular data—which users had bought from mobile carriers—to support product development and targeted advertising campaigns. This constituted "conversion," the wrongful taking of another party's property.

Settlement Terms:

• Total payout: $135 million (reportedly the largest ever in a conversion case)
• Individual payments capped at $100 per class member
• Google denies any wrongdoing

Required Changes:

Google must obtain explicit consent from Android users during phone setup before transferring data. The company will implement easier opt-out controls via toggle switches and disclose data transfer practices in Google Play's terms of service.

Financial Breakdown:

Plaintiffs' attorneys may seek up to $39.8 million (29.5% of the settlement fund) in legal fees. A trial had been scheduled for August 5 before the settlement was reached.

Market Implications:

This settlement highlights increasing regulatory and legal scrutiny of Big Tech data collection practices. It may prompt stricter privacy controls across the mobile ecosystem and influence future litigation against technology companies regarding user data handling.