Technology & AI

Google settles with Epic Games, drops its Google Play Store commissions to 20%

Google is moving forward with a series of changes to the Google Play Store after settling a years-long legal battle with Fortnite maker Epic Games over anti-competitive concerns. The tech giant on Wednesday said it would drop its Google Play Store commissions to 20% on in-app purchases, with another 5% levied if app developers choose to use Google’s payment system. It also makes it easier for users to install other app stores through a new optional program called the Registered App Stores Program.

“With these updates, we have also resolved our worldwide disputes with Epic Games,” Google said in a company blog post.

The changes are part of a new deal between the two tech rivals that will allow Epic Games to bring Fortnite back to the Google Play Store globally, while investing in its other app store, the Epic Games Store for Android.

As part of the agreement, the registered Google App Stores program will provide a more streamlined installation flow for users who want to install apps outside of Google Play. One of Epic’s concerns was that the app sideloading process included dire warnings to users about the dangers of non-Google Play Store apps. Of course, users should be careful – sideloaded apps are a well-known security risk. But some third parties, like Epic Games, wanted to run their own official (and secure) app stores without scare tactics.

That system will allow this, as authorized stores will need to meet certain quality and safety requirements, Google notes. The program is coming to markets beyond the US first. Once the compensation is approved by the court, it will present it to the country.

Another notable change is the adjustment of the Google Play Store commission structure. Like Apple, Google’s default commission is 30%, with a 15% cut for recurring signups. Now, it will be even lower: the new “service fee” will be 20% on in-app purchases on new installations and 10% on recurring subscriptions.

However, this fee does not include the use of Google’s payment system — that other 5%. (This rate applies to the US, European Economic Area [EEA]and UK Other countries will have their own market-specific rates.)

There will also be new developer programs, including the Apps Experience Program and the updated Google Play Games Level Up program, both of which encourage developers to create quality experiences on Android. Developers who choose to participate in these programs will pay a 20% commission on transactions generated from their existing app installations, but will only pay a 15% commission on transactions from new app installations.

These new currencies will go live on June 30, 2026, in the EEA, UK, and US New developer plans will also be launched at that time.

Australia will be able to access the new payment system on September 30, followed by Korea and Japan on December 31. The new payments will be extended to the global market on September 30, 2027.

“We believe these changes will make for a stronger Android ecosystem with even more successful developers and high-quality apps and games available on all devices for everyone. We look forward to our continued work with the developer community to build the next generation of digital experiences,” Google said in a post.

Epic Games praised the fix and the resulting changes in its statement, noting that “These changes will transform Android into a true open platform with competition between stores.” At X, Epic Games CEO Tim Sweeney said “THANK YOU GOOGLE!” calling the move “a better deal for all developers.”

Epic Games has long been involved in a similar lawsuit with Apple regarding its App Store commissions. Apple was forced to change its policy to give developers the ability to link to external payment options. That case is still on appeal, as Apple recently won a reversal of the court’s decision.



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