Google has announced that it’s lowering its Play Store cut for subscriptions to 15% of revenues instead of 30%.
Previously, the fee would decrease to 15% after 12 months of customers maintaining their subscription, but going forward the lower share will apply from day one for all developers offering subscription-based apps.
This comes also after Companies like Epic Games were speaking out against Apple’s high fees. It will be interesting to see if Apple will follow Google’s move and lower it’s AppStore fees.
The change will come into effect on January 1, 2022.
In a blog post, vice president of product management Sameer Samat said that “digital subscriptions have become one of the fastest growing models for developers,” but that the company’s previous approach to lowering its fee made it “challenging for subscription businesses to benefit from that reduced rate.”
Google also said that some ebook and music streaming apps will be “eligible for a service fee as low as 10%” going forward, as part of its Play Media Experience program.
Back in March, the tech giant had already lowered its share to 15% for the first $1 million of revenue annually for all apps.