Google plans to lower fees on all recurring subscription businesses on its Play Store from 30% to 15%, starting from their second year. Developers will have a fee of 15% from the first day.
- According to Google, 99% of developers will qualify for the 15%, or less per the Play Media Experience Program.
- In 2020, Google earned $11.6B from global in-app purchases in the Play Store.
- Google determined the new fee based on feedback from companies such as AWA, Picsart, Duolingo, and Smule.
- Upon the news, shares of Duolingo rose 13%, Roblox 6%, and mobile game studio AppLovin 3% by market close on Thursday.
- The new fees will begin on Jan. 1, 2022.