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Google cuts Play Store fees from 30% to 15% for Developers
The search giant said e-books and music-on-demand streaming services, where content costs account for the majority of sales, will now be eligible for a service fee as low as 10 percent. Google recently agreed to comply with South Korea's latest order requiring the search giant to allow third-party payments on its Google Play Store.
Days after Apple lowered App Store fees for developers, Google has announced that it will apply Play Store fees to developers. The subscription app will no longer have to pay a 30 percent cut to the company because Google has now cut fees by 15 percent. However, the changes will not be made immediately, the new Play Store fees will take effect from January 2021. Google also announced that e-books and music streaming services on demand will also be eligible for a fee of 10 percent.
In announcing the new Play Store fees, Google said in a blog post: "To help meet the specific needs of developers offering subscriptions, effective January 1, 2022, we will reduce the service fee for all subscriptions. in Google Play from 30% to 15%, from the first day. For developers offering subscriptions, this means that the subscription fees for the first year will be cut in half. We have already received positive feedback from our developer partners on this change. "
Google also offers special relaxation for music streaming apps and e-books. The search giant said e-books and music-on-demand streaming services, where content costs account for the majority of sales, will now be eligible for a service fee as low as 10 percent. The new fees recognize the industrial economics of media content verticals and make Google Play better for developers and the artist, musician and author communities they represent. Google had launched the Play Media Experience program earlier this year to encourage video, audio, and book developers to help grow the Android platform by creating cross-device experiences. The developers were only charged a service fee as low as 15 percent for it.
Now if developers are wondering if they are eligible for the low service fee or not, Google wants them to "review the program guidelines and express interest now and we will give you more information if they are eligible."
Google recently agreed to comply with South Korea's latest order requiring the search giant to allow third-party payments on its Google Play Store. The law was a massive blow to both Apple and Google, as both companies require in-app payments to be made only through their channel.
A Google spokesperson had told The Verge, "Just as it costs developers money to build an app, it costs us money to build and maintain an operating system and app store. We'll reflect on how to comply with this law while maintaining a model that supports a high-quality operating system and app store, and we will share more in the coming weeks."
