Google settles with Epic, will reduce Play Store fees

Google And Epic Games both are trumpeting a proposed settlement of the latter company's lawsuit in 2020. two years after federal judge ruled that the Google Play app store constitutes an illegal monopoly.

According to The Verge, settlement (which must be approved by a judge) introduces a new tiered fee system that allows developers to keep a larger portion of each transaction for their apps. Google will charge a 20 percent commission on in-app purchases that provide “more than a minimal gameplay advantage” and a 9 percent commission on other purchases such as in-app subscriptions and premium game purchases.

Google can still charge additional fees for transactions made through Play Billing, although developers will now be able to include alternative payment options that can be shown next to Google's in-game purchase platform. They will have the right to set different prices for transactions on alternative platforms.

This is a compromise on Epic's part. Previously, the company demanded that Google stop forcing developers to implement Google Play billing.

Finally, Google promises to remove “screens of fear” and allow easy installation of approved alternative app stores. App store operators can obtain approval through the Registered App Store program.

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On XAndroid President Samir Samat said the changes are “aimed at increasing developer choice and flexibility, reducing fees and encouraging more competition while keeping users safe.”

Epic Games CEO Tim Sweeney agreedcalling the proposed settlement “amazing.” “It truly echoes the original vision of Android as an open platform to streamline competitive installs in stores around the world, reduce service fees for developers on Google Play, and enable third-party payments in apps and online,” he said.

He then took a swipe at iOS creator Apple. which Epic is still fighting in court. “This is a comprehensive solution that contrasts with Apple's model of locking out all competing stores and leaving payments as the only avenue of competition.”

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