Google already allowed users to download apps outside of the Play Store under the EU’s Digital Markets Act, but is now introducing two new fees to do so.
- The initial fee for a Play Store purchase is 10% for in-app purchases or 5% for a two-year subscription.
- The ongoing fee is 17% for in-app purchases and 7% for subscriptions, which “reflects the value the Play Store provides to users and developers, including ongoing services such as parental controls, security scans, fraud prevention and constant app updates.”
Developers can waive ongoing fees for two years if users agree.
“Since users purchased the app through the Play Store expecting to receive services such as parental controls, security scans, fraud prevention and constant app updates, termination of services also requires the user’s consent,” Google said.
Google has included a table to show how fees would apply to a hypothetical third-party program:
So Google is taking a similar approach to Apple, which has reduced App Store fees but introduced new fees: notably a new 3% “payment processing” fee for transactions going through its store and for “underlying technology” that will charge a flat fee in €0.50 for all app downloads after the first million installs.
Epic CEO Tim Sweeney has already responded to Google’s decision:
“Google has announced its malicious plans to comply with the Digital Markets Act … it looks like their illegal policy will be replaced by a new tax on web transactions.”
Sweeney previously made similar comments about Apple, which likely led to Epic’s App Store developer account being suspended (it was through him that the company planned to launch its own store for iOS).
Source: TechCrunch, Engadget
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