Fees for in-app purchases are a way of life and part of the industry when it comes to digital content like apps and games, and this goes for Google’s Play Store as well as any other digital storefront, but Google has now committed to lower fees for Epic and all other developers. Google made the announcement official in an Android Developers blog post on March 5.
As a user, you’re potentially not aware that Google even charges developers a fee for in-app purchases made by users. It does, though, as does any other digital storefront. Steam, Apple, the PlayStation store, and even the Epic Games Store. They all have fees. If you were already aware of this, then you likely also remember that Epic has been battling Google and Apple in court for years over these fees. After finally winning its case against Google, the two agreed to settlement terms.
The only thing left to do was wait for the settlement’s approval. Lowering Play Store fees was part of that settlement. Only, Google is just bypassing all that and lowering the fees now.
Google will lower the Play Store fees for developers to 20%
Google’s decision to lower Play Store fees is certainly a win for all developers, especially since Google is doing this ahead of the settlement approval instead of waiting. Prior to this change, Play Store fees were 30%, but they’re being bumped down to 20%. It’s worth noting that this is for in-app purchases after a new install.
Google will also charge a market-specific rate to developers for billing if they choose to use the Google Play Billing system. For developers in the European Economic Area, the UK, and the US, that rate will be 5%, and it’s separate from the IAP service fees. These changes aren’t starting immediately, but will be rolled out in the near future. Google says that in the EEA, UK, and US, the changes will be implemented by June 30. In Australia, this will happen by September 30. It’ll be by December 31 for Korea and Japan, and then by September 30 of 2027 for all other regions.
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