Google to Lower Play Store Commission to 15% on First $1 Million Earned by Developers Per Year

Google today announced that, starting July 1, it will be lowering its Play Store commission from 30% to 15% for the first $1 million of revenue developers earn using the Play Store billing system each year, as reported by TechCrunch.

play store google
Google estimated that 99% of developers that sell goods and services with the Play Store billing system will see a 50% reduction in fees.

This moves comes nearly three months after Apple introduced a Small Business Program that reduces the App Store's commission rate from 30% to 15% for developers earning up to $1 million per calendar year in net revenue. For developers exceeding this threshold, Apple's standard 30% rate still applies, whereas Google is lowering the rate to 15% for the first $1 million earned per year by developers of any size.

Update: A spokesperson for Epic Games shared the following statement with MacRumors, arguing that "competition in payment processing and app distribution is the only path to a fair app marketplace":

While a reduction in the Google app tax may alleviate a small part of the financial burden developers have been shouldering, this does not address the root of the issue. Whether it's 15% or 30%, for apps obtained through the Google Play Store, developers are forced to use Google's in-app payment services. Android needs to be fully open to competition, with a genuinely level playing field among platform companies, app creators, and service providers. Competition in payment processing and app distribution is the only path to a fair app marketplace.

Top Rated Comments

69Mustang Avatar
19 weeks ago

Awesome! I have both the Samsung S21 Ultra and the iPhone Pro Max

The Samsung is the BETTER phone. Love the quality, nice to hold. iPhone is Heavy and Bulky.

Iphone drops Calls. Audio quality Stinks.

Samsung S21 takes better Pictures and Android has matured into an awesome OS over IOS.
What's the relevance? Whether you think one is better than the other has nothing to do with dev commissions. Seems like just plain ol' pot stirring.
Score: 33 Votes (Like | Disagree)
Mrjetsondc Avatar
19 weeks ago

Awesome! I have both the Samsung S21 Ultra and the iPhone Pro Max

The Samsung is the BETTER phone. Love the quality, nice to hold. iPhone is Heavy and Bulky.

Iphone drops Calls. Audio quality Stinks.

Samsung S21 takes better Pictures and Android has matured into an awesome OS over IOS.
Hello everyone I own thousands of dollars of smartphones for no reason other than to troll people on an Apple site lmao what even is your comment
Score: 19 Votes (Like | Disagree)
bounty1097 Avatar
19 weeks ago
Much simpler than Apple's model.
Score: 11 Votes (Like | Disagree)
TheYayAreaLiving Avatar
19 weeks ago
This is great news for the developers. Good job Google.
Score: 11 Votes (Like | Disagree)
Suckfest 9001 Avatar
19 weeks ago

Awesome! I have both the Samsung S21 Ultra and the iPhone Pro Max

The Samsung is the BETTER phone. Love the quality, nice to hold. iPhone is Heavy and Bulky.

Iphone drops Calls. Audio quality Stinks.

Samsung S21 takes better Pictures and Android has matured into an awesome OS over IOS.
Listen I don’t like Apple’s business practices all that much and I’ll always celebrate competitors giving them ideas to “invent” but let’s be real now, Android isn’t any less of a POS today that it’s been the last 5 years. Nobody who’s actually tried both in a real world setting can say with a straight face that Samsung with its amazing software and update history offers a more compelling product, let’s stop now

But mostly let’s stop because that’s wildly off topic, this thread isn’t about that
Score: 11 Votes (Like | Disagree)
NotTooLate Avatar
19 weeks ago

Awesome! I have both the Samsung S21 Ultra and the iPhone Pro Max

The Samsung is the BETTER phone. Love the quality, nice to hold. iPhone is Heavy and Bulky.

Iphone drops Calls. Audio quality Stinks.

Samsung S21 takes better Pictures and Android has matured into an awesome OS over IOS.
How much are you getting paid , be honest !!! how did you thought about posting Apple vs Samsung device "comparison" in a Google play developer fees reduction!!! do they pay you on bulk or likes ?
Score: 11 Votes (Like | Disagree)

Top Stories

timcookantitrust

Tim Cook 'Practicing for Hours' Ahead of Epic Games Testimony Expected This Week

Monday May 17, 2021 4:17 am PDT by
So far, Apple CEO Tim Cook has taken a backseat in defending Apple as it faces a significant legal battle with Epic Games regarding the App Store. While the CEO has commented on the platform in the past, for the first time this week, Tim Cook will take center stage in his company's battle with Epic Games. Apple in March submitted its list of executives that will testify during the trial...
European Commisssion

EU Likely to Charge Apple With Anti-Competitive Behavior This Week

Tuesday April 27, 2021 2:06 am PDT by
The European Commission will this week bring charges against Apple over concerns that its App Store rules break EU competition law, reports the Financial Times. The charges relate to a two-year-old antitrust dispute with Spotify. Margrethe Vestager, the EU's competition chief, will late this week publicly issue charges against Apple over concerns that the rules it sets for developers on its...
fortnite apple featured

Apple Earned Over $100 Million From Fortnite

Wednesday May 19, 2021 12:02 pm PDT by
Apple collected more than $100 million in revenue from the 30 percent cut that it takes from Fortnite in-app purchases, according to testimony provided by App Store gaming business development head Michael Schmid, who shared the detail in the ongoing Epic v. Apple trial. As noted by Bloomberg, Schmid offered the $100 million figure as a rough estimate, and declined to provide a specific...
fortnite apple featured

Epic Games vs. Apple Trial Begins With Opening Remarks Underway

Monday May 3, 2021 9:05 am PDT by
The first day of the bench trial between Fortnite creator Epic Games and Apple is officially underway, with the companies delivering opening remarks before District Judge Yvonne Gonzalez Rogers in a Northern California courtroom. The saga dates back to August 2020, when Apple removed Fortnite from the App Store after Epic Games introduced a direct payment option in the app for its in-game...
app store blue banner

Apple Highlights How the App Store Prevents Fraud Amid Legal Battle With Epic Games

Tuesday May 11, 2021 10:00 am PDT by
Apple today announced that, through a combination of automated technologies and human review processes, the company protected customers from more than $1.5 billion in potentially fraudulent transactions in 2020. Apple said secure payment technologies like Apple Pay and StoreKit (In-App Purchase) play an essential role in keeping users safe:With online data breaches frustratingly common,...
google privacy labels

Google Plans to Add Privacy Labels to Play Store Apps Next Year

Thursday May 6, 2021 11:57 am PDT by
Apple with iOS 14 introduced App Privacy labels for App Store apps, which are designed to let customers know details about the data that an app will collect about them before they make the decision to install an app. Google is planning to follow in Apple's footsteps with the Play Store, introducing a new feature that will require developers to provide transparency into how apps are using...
app store blue banner

Apple Begins Lowering App Store Commission to 15% for Eligible Developers

Thursday December 24, 2020 4:34 pm PST by
Apple recently introduced a new Small Business Program that reduces the App Store's commission rate to 15% for developers earning up to $1 million per calendar year in net revenue from the sale of apps and in-app purchases. For developers exceeding the $1 million threshold, Apple's standard 30% commission rate still applies. Earlier this week, Apple began emailing eligible developers about...
app store blue banner

App Store Ecosystem Responsible for Estimated $643 Billion in Billings and Sales in 2020, According to Apple-Commissioned Study

Wednesday June 2, 2021 10:00 am PDT by
The App Store ecosystem facilitated an estimated $643 billion in billings and sales in 2020, an increase of 24 percent year-over-year, according to an Apple-commissioned study done by Analysis Group economists. [PDF] The study, "A Global Perspective on the Apple App Store Ecosystem," comes as Apple awaits a decision in its ongoing trial with Epic Games, much of which focused on App Store...
Android 12 vs iOS 14 Feature

Google Previews Android 12 With Deeper Customization and iOS 14-Inspired Privacy Protections

Tuesday May 18, 2021 1:15 pm PDT by
During its Google I/O developers conference today, Google previewed Android 12, the next version of Android that will ship to millions of Android devices around the world later this year. Google is mainly targeting customization as the theme for this year's new release and a new design language that it's calling "Material You." Google says this new design language brings a "humanistic...
play store google

Google to Limit Which Apps Can See Other Installed Apps on Android Devices, Evoking Similar Privacy Changes Apple Made in iOS 9

Saturday April 3, 2021 3:23 am PDT by
Google will soon make it harder for third-party apps to see what other apps are installed on a user's Android device, a policy change that evokes similar privacy protections Apple introduced in iOS 9, way back in 2015. According to XDA-Developers, upcoming amendments to Google's Developer Program Policy will limit which apps can access an Android user's full list of installed apps. As noted...