Google cuts Play Store developer fee, following Apple's lead

Starting in July, Google will take just 15 percent of the first $1M in sales developers earn each year.
Written by Stephanie Condon, Senior Writer

Google is cutting in half the service fee it charges developers who sell their apps via the Google Play store. Starting on July 1, Google will take just 15 percent of the first $1 million in sales developers earn each year. 

The move comes just a few months after Apple similarly halved its standard 30 percent commission on in app-purchases for digital goods and services sold on the App Store. 

The commission cut for the first $1 million in sales applies to all developers, regardless of how much they're making. The vast majority bring in less than $1 million. In a blog post, Google Product Management VP Sameer Samat noted that 99 percent of developers on Google Play will see a 50 percent reduction in fees. 

"These are funds that can help developers scale up at a critical phase of their growth by hiring more engineers, adding to their marketing staff, increasing server capacity, and more," Samat wrote. 

The commission cuts come as regulators and developers around the globe question the way Google and Apple wield their power over the marketplace for mobile applications.

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