It will also reduce its commission from 30 percent to 10 percent.
Google will allow developers to offer external payments starting June 30 in the US, UK and Europe, and will also remove its 30% transaction discount. The company first announced the changes in March as part of terms agreed to settle its years-long legal battle with Epic Games. Google’s new billing choice program will be available to all developers worldwide. Although their ads still feature the Play Store billing system, they may offer an alternative payment system or link users to their own websites to make purchases. Customers will see the choice screen in the image above during checkout, but developers can design their own screen, as long as it meets the company’s UX guidelines.
On the same day, Google will also stop cutting 30% of its sales in the US, UK and Europe. It will separate its service fees from billing fees, with the former starting at 10% on the developer’s first $1 million in annual revenue, regardless of the billing system its clients use. This 10% service fee will also apply to all automatic subscription renewals. For transactions using the Google Play payment system, an additional 5% billing fee applies.
Google’s commission doubles after the developer’s first million in a year for new installs, giving it a 20 percent cut instead of just 10 percent. Auto-renewals will still give a 10% discount, but all other transactions on existing installs will give Google a 20-25% commission. However, apps eligible for the Games Level Up program and the new Apps Experience program will be able to continue to benefit from lower fees when the initiatives go live on September 30. The Games Level Up program is for developers who create high-quality gaming experiences, while the Apps Experience program is for developers who create high-end, cross-device experiences on Android.
Although these changes will only apply to the US, UK and Europe on June 30, Google will expand their reach over the coming months until they become the global standard on September 30, 2027.
