Google Confirms Play Store Will Allow Alternative Billing Starting June 30

The 30% Google Play tax dies on June 30. Developers in the US, UK, and European Economic Area will finally be allowed to use alternative billing systems or send users to their own websites for purchases, Google confirmed this week.

The changes fulfill the settlement Google reached with Epic Games, which wrapped up earlier this year after a judge found Google had illegally monopolized Android app distribution.

Google is restructuring its entire fee model around two decoupled components: a service fee and a billing fee. The service fee starts at 10% on the first $1 million in annual earnings across all payment methods, including external links. After that threshold, rates climb to 20% for new installs and 25% for existing installs, with auto-renewing subscriptions locked at 10%.

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Apps that qualify for Google's Games Level Up and Apps Experience programs can access a lower 15% rate when those initiatives launch in September.

Developers who stick with Google Play's billing system pay an extra 5% fee on transactions. Those who route payments through alternative systems or their own websites avoid that surcharge, though third-party processors will charge their own fees.

Google says developers can design their own choice screen directing users to external payment options, as long as it follows its UX guidelines. The rollout is phased. June 30 covers the US, UK, and EEA.

Australia gets the new structure on September 30, followed by Japan and South Korea on December 31. The rest of the world follows by September 30, 2027.

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The distinction between new and existing installs is a first for a major app store. Transactions from users who installed an app before the regional fee change took effect are charged the higher rate.

Users who install after the change are treated as new installs at the lower 20% cap. Google defined this in its developer documentation as keyed to the first-time install or update date in each market.

A federal judge has not yet signed off on the broader Epic settlement, which also requires Google to support third-party app stores. Google is proceeding with the billing changes anyway.

Meanwhile, Apple's parallel fight with Epic continues toward the Supreme Court, with Apple currently charging $0 for App Store links while Google takes 10-20%.