On Tuesday, Google announced that it’s complying with the European Union’s new Digital Markets Act (DMA) by letting Google Play Store developers charge their customers in Europe through third-party billing systems. Processing in-app payments through Google’s system gives the platform holder a 15 percent cut of revenue while circumventing Google’s processor only reduces the fee to 12 percent. Developers who wish to do so can start now by registering with Google’s declaration form. The new rules only apply to non-gaming apps. Google plans to have another system for in-game payments ready before the DMA goes into effect this fall.
The EU adopted the DMA earlier this month. Among other things, it requires big platform holders operating in European Union countries to let apps charge customers through a billing system of their choice. South Korea passed a similar law specifically targeting payment processors last year. Although Apple and Google technically complied with it, Google’s solution has led to higher prices for South Korean Android users. The Netherlands found Apple’s compliance with its in-app payment law for dating apps unsatisfactory, repeatedly fining the company millions of Euros. Outside Europe, Google has started forcing all Google Play Store apps to charge users through its billing system, resulting in a legal fight with Epic Games and Bandcamp.
