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Google Lets Developers Offer Alternative Billing and Lowers Play Fees

Routing purchases off Google Play avoids a new billing fee, with a separate service fee set to apply to the first $1 million in earnings.

Overview

  • Google announced a billing choice program that lets developers offer an alternative payment system or link users to an external purchase flow alongside Play’s billing.
  • Google said it will split charges into a service fee that begins at 10% on the first $1 million in annual earnings and a separate billing fee that applies to transactions processed by Play.
  • The billing fee is set at 5% in the initial markets and does not apply to payments processed via alternative billing or external web links.
  • Google plans a staggered rollout that begins in the initial markets and expands globally later, with reporting that Australia, Japan, Korea and most other regions will join on later dates.
  • The changes follow Google’s settlement with Epic Games and include revamped developer programs for games and apps, while obligations like certifying third‑party stores and developer verification remain to be implemented and could reshape Android distribution.