Play Store to Allow Outside Billing Starting June 30

Starting June 30, Google will enable developers to implement external payment options within the Play Store for users located in the US, UK, and Europe. This significant shift also includes the reduction of Google’s commission from the previous 30% to a much lower rate of 10%. These changes were initially revealed in March as part of a settlement agreement following Google’s protracted legal battle with Epic Games. The new billing choice program will be accessible to developers globally, allowing them to incorporate alternative payment systems or redirect users to their own websites for transactions. Customers will encounter a selection screen at checkout, as illustrated in the accompanying image, but developers have the flexibility to customize their own interface, provided it meets Google’s user experience guidelines.

On the same date, Google will cease taking its traditional 30% commission on sales in the US, UK, and Europe. The company will distinguish between its service fee and billing fee. The service fee will commence at 10% for the first $1 million in annual revenue per developer, irrespective of the payment method chosen by users. This 10% service fee will also apply to all automatic subscription renewals. Should developers opt for Google Play’s native payment system, an additional 5% billing fee will be implemented.

Once developers surpass the $1 million threshold in annual earnings from new installations, the commission will increase to 20%. Automatic renewals will retain a 10% cut, while other transactions on existing installations will incur a commission ranging from 20% to 25%. Nevertheless, apps that qualify for the Games Level Up and Apps Experience programs will benefit from lower fees when these initiatives launch on September 30. The Games Level Up program aims to support developers producing high-quality gaming experiences, while the Apps Experience program targets those creating premium multi-device applications across Android.

While these new policies will initially apply to the US, UK, and Europe starting June 30, Google plans to broaden their implementation globally in the following months, aiming for these changes to become the standard worldwide by September 30, 2027.