Google is about to revolutionize the landscape of its Play Store, with significant changes that will impact developers and users. The most striking move is the farewell to the 30% commission on transactions, a decision that marks a turning point in Google's policy and comes at a crucial time for the app market.
Commission Reductions and New Programs
The reduction of commissions is the core of this transformation. Google will lower its cut to 20% for in-app purchases made through the Play Store. To further incentivize developers, even lower commissions, set at 15%, are planned for new app installs from developers participating in the new App Experience program or the updated Google Play Games Level Up program. Subscriptions will also benefit from this policy, with a commission reduction to 10%.
Regarding Google's billing system, developers in the United Kingdom, the United States, and the European Economic Area (EEA) will be subject to a 5% commission, while in other regions "a market-specific fee" will apply.
Openness to Third-Party Stores and Alternative Billing Systems
Another key change concerns openness to third-party stores and alternative billing systems. Google will allow developers to offer alternative billing systems alongside its own, or to "guide users outside of their app to their own websites for purchases." This policy appears to be more permissive than the one adopted by Apple, which limits developers to using alternative payment methods only via in-app links.
This openness is partly due to the agreement reached by Google with Epic Games, which led to the return of Fortnite to the Play Store. Epic Games, in fact, is interested in promoting the mobile version of its Epic Games Store, and Google's announcement includes details on how third-party stores can be integrated into Android.
The "Registered App Stores" Program
Google will launch a new program called "Registered App Stores," to which third-party stores can apply to verify if they meet "certain quality and safety parameters." If approved, they can benefit from a simplified installation interface in Android. Participation in the program is optional, but Google seems to favor this solution, and it might make sideloading alternative app stores not adhering to the program more difficult.
Timelines and Global Implementation
These changes will not be available everywhere simultaneously. The new commission structure will be implemented in the EEA, the UK, and the US by June 30, in Australia by September 30, in Korea and Japan by December 31, and worldwide by September 30, 2027. The Google Play Games Level Up program and the new App Experience program will launch in the EEA, the UK, the US, and Australia on September 30, before being extended to the remaining regions along with the new commission structure.
For developers interested in offering their own app store, Google will launch the Registered App Stores program "with a version of a major Android release" by the end of the year. The program will be available in other regions before arriving in the United States.
A New Chapter for the App Market
These changes, although partly motivated by regulatory pressure and the agreement with Epic Games, represent an important step towards a more open and competitive app market. Allowing developers to keep a larger share of their earnings is a positive aspect, and Google seems to have made this decision based on an assessment of its own commercial interests.
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