Google is lowering prices: Android users could soon start making real savings

Will app subscriptions in the Google Play Store soon be cheaper? A new rule makes this possible. Android users could benefit from lower prices. However, there is no pure good-naturedness behind the new regulation.

A look across national borders shows that gasoline is cheaper for many of our European neighbors than in Germany. A price driver in this country is the state, which cashes in on every liter. Google also holds up a hand with every app subscription in the Play Store and demands a commission. In the future, however, it will decrease.

Google lowers commission for subscription fees in the Play Store

From January 1, 2022, the US company will only demand 15 percent of the income that app developers earn with a subscription in the Google Play Store (source: Android Developers). Until now, the fees were 30 percent and only decreased by half after a year if the annual turnover did not exceed the limit of 1 million US dollars. From 2022, the deadline will no longer apply: App developers only pay a 15 percent commission to Google from day one. According to the search engine provider, this includes 99 percent of all apps in the Play Store.

In addition, Google is also generally lowering the fees for apps in the Google Play Store that qualify for the "Media Experience Program" to 10 percent. These are applications that make the lion's share of their revenues through subscriptions - ie especially e-reader or streaming apps.

Which apps belong on every mobile phone? In this video we reveal our recommendations:

Will Android users soon have to pay less?

Normal Android users could also benefit from the lower commissions in the Google Play Store in the medium to long term. It was hoped that some app providers could at least partially pass on the savings to their users and charge lower prices for app subscriptions.

Out of sheer good-naturedness, however, Google is unlikely to have lowered the commissions. Just like Apple, Google has recently been increasingly targeted by competition watchdogs who, following complaints from some app providers, are taking a closer look at the dominant position of the App Store and Play Store. With lower commissions, Google could at least appease some of them.

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