OAKLAND, Calif. – Google announced that some apps are no longer able to bypass their payment system on the Google Play Store, reducing the company's in-app purchases.
Google said in a blog post on Monday that it provides "clarity" on billing policies as some developers are confused about what types of transactions require its app store's billing system to be used.
Google has introduced a policy to cut payments for apps offered in the Google Play Store by 30 percent. However, some developers, including Netflix and Spotify, got around this requirement by asking users to pay a credit card directly. According to Google, companies had until September 30, 2021 to integrate their billing systems.
The fees charged by Google and Apple's app stores have become a particularly controversial topic in recent months after Epic Games, makers of the popular Fortnite game, sued Apple and Google, claiming they had countered the commissions they charged violate the antitrust rules.
Developers have resisted the 30 percent cut demanded by Google and Apple, saying it was an excessive digital tax that would affect their competitiveness. And since the two companies control almost all the smartphones in the world, many developers complain that they have no choice but to stick to their guidelines and pay the commissions.
Google has argued that it allows other companies to run app stores within its Android software. On Monday, the company announced that it would make changes to next year's version of Android to make it easier to use other app stores on its devices without compromising security.
This is a developing story. It will be updated.