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Google rolls out user choice billing on Google Play in the UK
Google will implement user choice billing in the UK on March 29, allowing non-game developers to use alternative billing methods alongside its own. Developers opting for third-party billing will receive a 4% fee discount. This change responds to a CMA investigation into Google's market power, reflecting ongoing regulatory pressure to increase competition in app stores.
Key points
- Google is rolling out user choice billing in the UK starting on March 29.
- Only non-game developers will initially have this option.
- Developers choosing alternative billing cannot fully replace Google Play's billing.
- Developers using third-party billing will receive a 4% discount on fees to Google.
- Google's typical cut for in-app transactions is up to 30%.
- The change is partially a response to a CMA investigation from 2022 focused on Google's market power.
- The CMA highlighted Google and Apple's duopoly in the app store market.
- In 2023, Google proposed user choice billing to resolve the CMA antitrust probe.
- Similar billing options are already offered in various countries, including the US, India, and Japan.
Why it matters
- This development aligns with trends in digital marketplace regulations and antitrust scrutiny, particularly towards tech giants.
- In 2025, the trend of regulatory reforms around app store fees and billing practices is expected to intensify.
- User choice billing reflects a broader push for competition in digital economies, echoing ongoing discussions about monopolistic practices in tech.
Google's new user choice billing in the UK is a significant step toward increasing competition in the app market, prompted by regulatory pressures that are reshaping how digital marketplaces operate globally.