In November, Epic and Google jointly proposed a settlement that would change Android’s fate globally without cracking open Google’s Android monopoly quite the way it otherwise might. Today, Google has decided it’s not waiting for that settlement to be approved: it’s moving forward with many of its proposed changes right now.
By June 30th, Google writes, it will lower its app store fees in the US, UK, and European Economic Area to 20 percent in some cases, down from 30 percent. By the end of the year, it will launch a “Registered App Stores” program outside of the US, and it will let app developers offer their own billing systems “alongside Google Play’s billing” if they pay a different fee.
Here is the breakdown and example images of lower prices, according to Google, though you’ll note some involve signing up for specific programs whose terms have not yet been disclosed:
> Billing: For those developers who choose to use Google Play’s billing system, they will be charged a market-specific rate separate from the service fee. In the European Economic Area (EEA), UK, and US that rate will be 5%.
> Service Fees: For new installs (first time installs from users after the new fees are launched in a region), we are reducing the in-app purchase (IAP) service fee to 20%.
> We are launching an Apps Experience Program and revamping our Games Level-Up program to incentivize building great software experiences across Android form factors associated with clear quality benchmarks and enhanced user benefits. Those developers who choose to participate in these programs will have even lower rates. Participating IAP developers will have a 20% service fee for transactions from existing installs and a 15% fee on transactions from new app installs.
> Our service fee for recurring subscriptions will be 10%.
And here’s the timeline that Google is sharing for fee changes to roll out:
> By June 30: EEA, the United Kingdom and the US.
> By December 31: Korea and Japan
> By September 30, 2027: The updates will reach the rest of the world.
> We will also launch the updated Games Level-Up program and new App Experience program by September 30 for EEA, UK, US, and Australia and then it will roll out in line with the rest of the schedule above.
> We plan to launch Registered App Stores with a version of a major Android release by the end of the year.
With Registered App Stores, another distinct program run by Google whose terms are not yet disclosed, the company is promising a relatively frictionless experience for sideloading those stores onto your Android device. It appears like this in court documents:
Epic, which quietly negotiated a secret $800 million deal with Google before the proposed settlement, is applauding the changes. But they are nuanced, some may be controversial, and while Epic and Google both say these changes settle the companies’ disputes worldwide — “We are also excited to announce that we’ve resolved all our disputes with Epic Games globally!” writes Android boss Sameer Samat — both companies are still in court in the US where a judge has already ordered more to be done.
We’re going to be on a call with Samat and Sweeney momentarily to discuss the changes, and will let you know what we find out.
Developing… we’re adding more to this story right now, refresh in a bit for more.
