Google Play to Enforce 30% Commission on Android Apps – What Developers Need to Know

On the eve of the National Day holiday, Google revealed that from next year developers publishing Android apps on the Google Play Store must use Google’s payment system, forfeiting any independent payment options and subjecting in‑app purchase revenue to a 30% commission, effectively aligning with Apple’s model.

Developers have a one‑year grace period, with the deadline set for September 30, 2021. Google notes that its existing policy already required the use of its payment system for in‑app purchases, but it had not been enforced previously.

Google reports that less than 3% of developers selling digital goods through Google Play complied with the payment‑system policy in the past 12 months, and about 97% of those who did comply.

The move echoes Apple’s longstanding 30% “Apple tax” on App Store transactions, a practice that has faced criticism from developers and regulators. Epic Games, along with other firms such as Spotify and Match Group, formed the “App Fairness Alliance” to oppose such fees, accusing Apple of anti‑competitive behavior.

Apple recently faced its own backlash, temporarily suspending the 30% commission on paid virtual events hosted on iOS, and granting fee exemptions to non‑gaming enterprises via Facebook Pay. However, the exemption is limited to three months and will resume in 2021.

Google’s policy shift also follows its earlier decision in 2018 to charge Android device manufacturers for using its Android suite, a move tied to a €5 billion EU antitrust fine. European manufacturers now must pay licensing fees for Google’s apps, increasing costs for brands like Samsung, Huawei, OPPO, and Xiaomi.

Regulatory pressure is mounting: Italy’s antitrust authority launched an investigation into Apple, while Korean media outlets have filed complaints anticipating Google’s new fees.

Images illustrating the announcements and screenshots from CNBC are included below.