Google Launches Third-Party Play Store Billing Pilot, But Only Cuts Fees By 4% (arstechnica.com) 16
An anonymous reader quotes a report from Ars Technica: Google is slowly opening up the Play Store's billing policies. The "user choice billing" pilot program that was announced in March is now accepting sign-ups. Google describes the program in a support article, saying, "This pilot is designed to test offering an alternative billing option next to Google Play's billing system and to help us explore offering this choice to users. We are looking to gain feedback in different countries and ensure we can maintain a positive user experience." Developers interested in billing through an alternative provider can fill out Google's sign-up form, and it sounds like Google will manually review each application. Google won't let developers use the pilot program for games -- the biggest money makers -- but only for apps.
Barring a few promotional tiers, Google and Apple both take around 30 percent not just for purchases of newly downloaded apps but also for digital purchases inside already downloaded apps. Many developers view these fees as excessive, and the push inside both ecosystems to allow third-party billing was originally pitched as a solution to high app store fees. Various regulatory bodies have forced the Google/Apple app store duopoly to open up payments, but Google and Apple have each done so without fixing the core problem of high app store fees. Apple takes a 27 percent cut of purchases processed outside the app store -- basically the original 30 percent fee minus the typical 3 percent processing fee charged by credit card companies. Google is doing something similar with this new program and will only reduce its fees by 4 percent. You'll still need to pay some kind of fee to your third-party payment processor, so with only a 4 percent reduction from Google, developers won't really save money.
Barring a few promotional tiers, Google and Apple both take around 30 percent not just for purchases of newly downloaded apps but also for digital purchases inside already downloaded apps. Many developers view these fees as excessive, and the push inside both ecosystems to allow third-party billing was originally pitched as a solution to high app store fees. Various regulatory bodies have forced the Google/Apple app store duopoly to open up payments, but Google and Apple have each done so without fixing the core problem of high app store fees. Apple takes a 27 percent cut of purchases processed outside the app store -- basically the original 30 percent fee minus the typical 3 percent processing fee charged by credit card companies. Google is doing something similar with this new program and will only reduce its fees by 4 percent. You'll still need to pay some kind of fee to your third-party payment processor, so with only a 4 percent reduction from Google, developers won't really save money.
Third Party App Stores (Score:2)
The big difference however between Google and Apple, is that Google allows third party app stores where developers can distribute their stuff under different terms. Samsung has it's own app store that ships on all their phones alongside the Play store. Huawei has their own as well. Amazon also has an app store. F-Droid is a free and open app store anyone can use. All of these app stores deliver scanned, trusted apps. It's a totally different world than Apple.
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On the other hand, if an app from the Google or Apple stores causes you harm, one of the largest companies on the planet is legally on the hook to make it right.
Where do you see this in their TOS? As far as I am aware the developer is the party responsible. If I'm not mistaken the only time you can hold them liable is if they were aware of the fact that the app can cause harm.
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If an app from F-Droid wrecks my phone or empties my bank account, F-Droid shrugs and says "take it up with the developer. We think they're located in northern siberia but we really don't have a clue and we don't really care. good luck.
If an app from the apple store wrecks my phone or siphons my bank account, I go directly to Apple and there's a trillion-dollar that's legally obligated to somehow fix the situation. I deal with Apple
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If an app from the apple store wrecks my phone or siphons my bank account, I go directly to Apple and there's a trillion-dollar that's legally obligated to somehow fix the situation.
That's reassuring in theory. But in real life you can only sue and get substantial compensation from a company for gross negligence [wikipedia.org]. And no company or organization is immune from that, whether it's Apple, Google, F-Droid or the GNU project.
Of course, Apple and Google clearly have more resources to compensate you. But they also have more resources to hire lawyers so they don't have to pay you.
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Er I would not bucket F-Droid in the same place as Samsung or Amazon's app stores.
I am altering the deal ... (Score:2)
Google ... will only reduce its fees by 4 percent.
if google was not a spamvertiser (Score:3)
Re: if google was not a spamvertiser (Score:2)
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what about add more to we don't take any%? types? (Score:2)
what about add more to we don't take any% types of apps?
Why do dating apps need to pay % but the sports book / lotto apps pay 0%
W/o trusted stores, developers wouldn't make big $ (Score:2)
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