Due to facing increased regulatory pressure, Google on 21st October moved to more slash the fees it collects from downloads of its subscription-based Play Store offerings for Android.
In March, Google publicized plans to lessen its cut from Play Store incomes on most apps from 30% down to 15% effective July 1st. Google’s only true competitor in the industry, Apple charges a huge 30% fee for subscription services for the first year and 15% for each year thereafter. Apple does make an exclusion for apps with income below $1 million, only taking a 15% cut from the jump.
Today in its blog post, Google confirmed that it’s going further and almost 99% of the developers that access the Play Store will now qualify for the lower 15% service fee from the very fast day in a move away from an all in one size fit service fee model to confirm all kinds of business can be successful and encourage our diverse app ecosystem.
What’s the stand of Google on Updated Policy?
Google also proclaimed and updated policy around commissions on eBooks, music streaming services where content costs account for the mainstream sales with those services now being qualified for fees as low as 10%. That change, according to Google, is planned to diminish the financial burden on developers and the communities of artists, authors, musicians they signify.
Apple and Google both have been under fire for the excessive fees they charge developers in recent months, and both firms are the matter of a high stakes legal battle with Epic Games, which moved to prosecute after the firms banned the hugely popular game. In August, Fortnite out of their own app stores. Now Google is also facing a pack of state and federal antitrust litigations comprising one being brought by a group of 36 states and the District of Columbia that precisely claims the firm of taking benefit of its extensive market power to impose its malevolent mobile app store policies on exposed developers.