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Play Store App Prices Slashed by Google

In response to rising regulatory pressure, Google reduced its fees from downloads of its subscription-based Play Store offerings for Android on Thursday.said in March that it would reduce its cut from Play Store earnings on most apps from 30% to 15% beginning July 1. Apple, Google sole significant competitor, charges 30% for the first year and 15% for each subsequent year for subscription services. Apple makes an exemption for apps with less than $1 million in revenue, collecting only 15% of the increase.

Google said in a blog post today that it’s going even further and that 99 percent of Play Store developers will now be eligible for the lower 15 percent service fee from day one, in a move away from a “one size fits all” service fee model “to ensure all types of businesses can be successful… and encourage our diverse app ecosystem.” The company also announced an amended policy on commissions for ebooks and music streaming services—”where content costs account for the majority of sales”—which now qualify for fees as low as 10%.

In recent months, both Google and Apple have been chastised for the expensive fees they charge developers. In addition, both are embroiled in a high-stakes legal battle with Epic Games, which sued after the companies removed the enormously popular game Fortnite from their respective app stores in August. Google is also now facing a slew of state and federal antitrust lawsuits, including one filed by a consortium of 36 states and the District of Columbia. The cases accuse the corporation of abusing its market position to impose its harmful mobile app store restrictions on unsuspecting developers.

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