Alphabet Inc’s Google said on Tuesday it would cut the service fee that app developers pay to its app store by half for the first $1 million in revenue they earn every year.
The move will bring down Google’s app store fees to 15 percent from 30 percent, the company said in a blog post.
The decision follows a similar move by Apple Inc, which said in November that it planned to lower its app store commissions for software developers who make $1 million or less in proceeds each year from the store.
However, Google’s policy change is not just limited to smaller developers.
Both the companies have come under fire from large firms such as Microsoft Corp, Spotify Technology SA, as well as startups and smaller companies, that allege the fees deprive consumers of choices and push up the price of apps.
Google said about 99 percent of developers on its app store would see a 50 percent reduction in fees after the move, which is effective July 1.
It was not immediately clear how big the financial impact of the move would be on Google.
Australia to introduce legislation to make Google, Facebook pay for contentAustralia will next week introduce landmark legislation to force Alphabet’s Google and Facebook to pay publishers and broadcasters for content, a ... Life
Rupert Murdoch's News Corp signs news partnership deal with GoogleNews Corp struck a global news deal with Alphabet Inc’s Google, the Rupert Murdoch-controlled media company said on Wednesday, in one of the most ... World News
Australia’s antitrust chief claims victory after Facebook, Google news content rowThe architect of Australia’s laws forcing Google and Facebook to pay media companies for content claimed victory on Wednesday, though critics said ... Technology