Google has announced that it is lowering its app store fees for all subscription-based services from 30 percent to 15 percent with effect from January 1, 2022. The company currently levies a 30 percent fee for all subscription services that reduces to 15 percent after 12 months of a recurring subscription. This news has come after the fact that Google is currently facing increased scrutiny over its app store practices globally.
Apart from this, the company has also announced that ebooks and on-demand music streaming services, where the “content costs account for the majority of sales, will now be eligible for a service fee as low as 10 percent.”
According to the company, 99 percent of the developers qualify for a service fee of 15 percent or less. These developers include Bumble, Calm, Duolingo, PicsArt, and Smule to name a few.
The company has also stated that it will continue to engage with developers, thus helping them in understanding the challenges and opportunities.
To recall, Google in October last year stated that it will more proactively enforce its 30 percent commission for apps selling digital goods on the Play Store starting September 30, 2021. At the time, the company had claimed that the change will impact less than 3 percent of apps on the Play Store that are currently not using the company’s billing system. However, due to a push back from Indian developers, the company decided to delay the implementation to March 2022. At the time, it also announced that the commission rate will be reduced to 15 percent for the first $1 million revenue developers earn using the Play billing system every year.
The post Google cuts Play Store fee to 15 percent for all subscription apps from 2022 appeared first on BGR India.