Google Play Store Cuts Commission to 20%, Opens Up to Third-Party Payments Amid Global Regulatory Pressure
Google Play Store has long controlled the distribution of Android app revenue through in-app purchases and service fees of up to 30%. In recent years, it has faced an antitrust lawsuit from Epic Games and European Union requirements to open the market to competition under the Digital Markets Act (DMA). The overhaul will affect developer costs, pricing autonomy and the global mobile payments market.
Google said it will phase in the new framework globally starting in 2026, cutting the Play Store's standard commission to 20%. Developers will be able to use third-party payment systems within apps and direct users to their own websites to complete purchases. The policy also permits sideloading, reshaping payment flows and revenue structures across the Android app ecosystem.
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The history behind this eventGoogle Play to Allow Third-Party Payments in US, UK and Europe From June 30
Google Play has traditionally required most in-app transactions to use its billing system, leaving developers with limited payment options. Google is now changing its policies in the United States, the United Kingdom and Europe by pricing platform services separately from payment processing. This will allow businesses to handle transactions themselves while making the app store’s commission structure more transparent.
Google said the new fee structure will take effect on June 30. Developers in the United States, the United Kingdom and Europe will be able to use third-party payment methods within apps or direct users to their own websites to complete transactions. Fees will be divided into a platform service fee and a payment service fee. Developers that do not use Google Play’s payment service will not have to pay the 5% payment service fee.
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