Google on Thursday announced that it is reducing the charges it is been charging to the subscription based apps from the users. It said that it will cut down the charges.Currently app developers pay 30% to the play store in the initial year and 15% from the second year. Businesses gained reduced benefits due to the charges.
The new charge structure will be implemented from January 2022. Google by lowering the subscription charges aims to encourage companies shifting to subscription modes. The E-book companies and on-demand music provider will be the key target customers of Google.
Many companies like Spotify Technology SA, Microsoft Corporation, and other small and medium sized companies have criticised Google for charging subscription fees from the companies. The companies criticised that out-of pocket charges deprives users from downloading the apps and increasing the app charges has announced that it will cut subscription fees of the apps by half initially. will reduce the charges even of the iOS store app subscription fees and encourages users from shifting one time to premium services.
Google stated about lowering the charges it was charging for the subscription based apps as it faced criticism from companies like spotify and others who have subscription based app and require to 15% from day one to the Play store. The new charge structure will be implemented from January 2022. The E-book companies and on-demand music provider will be the key target customers of on both play store and iOS store.