Planning to connect your app to Google’s store? Expect to pay $2–4 for each installation.

Today marked the deadline for Google to disclose its compliance with Judge James Donato’s directive to open up Android for third-party app stores, cease the illegal bundling of its Google Play Billing system with its app store, and allow developers to link to alternative download methods outside the Play Store in the US.

However, Google isn’t simply giving developers free rein. The company has updated its support documentation, setting a January 28th deadline for enrollment in specific programs related to “alternative billing” and “external content links.” These programs will come with hefty fees unless Judge Donato opts for the settlement proposed by Epic and Google.

While fees aren’t being collected just yet, Google plans to charge developers $2.85 for each app and $3.65 for every game installed within 24 hours of a user clicking an external link to download them outside of Google’s ecosystem. Additionally, Google will take a 20 percent cut of in-app purchases and 10 percent from auto-renewing subscriptions. Developers must still submit their apps for Google’s review, utilize a Google API for tracking, and report all transactions, including $0 free trials, to participate.

For developers looking to implement their own billing solutions, the incentive is minimal, as they will only receive a 5 percent discount compared to Google’s existing fees. Google will charge 25 percent for in-app purchases and 10 percent for auto-renewing subscriptions in this scenario, requiring integration of a Google API for tracking and reporting all transactions within 24 hours.

Some fees will be capped at 10 percent of a developer’s first $1 million in earnings, which may ease the burden for smaller developers, but it’s not a significant change from the current situation. Google already has a similar cap at 15 percent, making this a mere 5 percent reduction.

The reaction from Judge Donato remains to be seen. In a parallel case, when Apple informed Judge Yvonne Gonzalez Rogers of a 27 percent fee for external payments, she found Apple in contempt, a decision recently upheld by an appeals court. However, the appeals court did suggest that Apple could charge a commission based on the actual costs necessary for coordinating external links.

Google asserts that “the fees associated with the external content links program reflect the value provided by Android and Play and support our continued investments across Android and Play.” Yet, Google also stated it won’t be collecting any fees at this time, noting, “In the future, Google intends to apply a service fee on successful transactions and downloads completed via external content links. At this time, however, Google is not assessing these fees and is therefore not requiring developers in this program to report these transactions or downloads to Google.”

In a joint progress report, Epic and Google’s legal teams indicated that while Epic agrees with the January 28th deadline and other stipulations, it opposes the service fees Google plans to implement in the future and intends to challenge them if they are enforced.

Ultimately, all of this could change if Judge Donato accepts the proposed settlement from Google and Epic, which would apply globally and feature lower standard transaction fees. However, Google has indicated that this settlement would also involve fees for alternative billing and external app downloads, and Judge Donato expressed skepticism about the settlement in November. He has scheduled an evidentiary hearing for January 22nd before making a final decision.

As the situation evolves, Google’s support pages appear to be in flux, and we’ve archived copies of their current text for reference.

End of Article

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