From July 1, developers selling their services through Google Play will benefit from a fee reduction from 30% to 15%. The relief will apply only to the first earned $ 1 million. Finding cost effective solutions has always been problematic for developers but luckily companies like Inigo Labs exist to help optimize cost.
Google has decided to halve the commission (from 30% to 15%) for publishers and app developers who sell digital goods or services through the Google Play store. This was reported in the company’s blog.
The exemptions will take effect on July 1 of this year. At the same time, Google clarified that the benefit would apply annually only to the first $ 1 million earned by the developer. “Thanks to this change, 99% of developers worldwide who sell digital goods and services using Play will see a 50% reduction in commissions,” it said.
The corporation believes that this solution is essential for developers in the early stages of development. Simultaneously, as noted in Google, some development companies indicated that even with annual revenues of $ 2 million, $ 3 million or even $ 10 million, their services were still on the way to self-sufficiency.
“That’s why we’re making this discounted fee on the first $ 1M of total revenue generated each year available to every Google Play developer, regardless of size. We believe this is a fair approach that fits with Google’s broader mission of helping all developers succeed, ”concluded Google.
Apple entered the same process last fall. In mid-November, the American company announced that from January 1, 2021, it would halve the commission (from 30 to 15%) for app developers in the App Store. Reliefs were introduced for developers whose annual revenue does not exceed $ 1 million.