Like Apple in 2021, Google has decided to create a support fund to end the legal dispute with app developers who accuse it of abusing a dominant position to impose unfair rules. In its proposed agreement, the American technology services giant plans to pay a sum of 90 million dollars and undertakes to change some practices to offer greater commercial latitude to developers.
Google relaxes its policy
In its June 30, 2022 press release, Google announced that it had reached an agreement with app developers in a lawsuit against Google Play Store. The plaintiffs had filed a lawsuit against the company to denounce a restrictive policy such as the prohibition to offer applications on other platforms outside of Google Play, austere publication rules, or even excessive commissions of 30% .
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The proposed settlement, which awaits the judge’s approval, aims to rectify these technical and commercial barriers, and will ensure ” that developers and consumers can continue to benefit from Google Play “says Google.
The document reveals the establishment of a fund of 90 million dollars which will be paid to developers who have made annual profits of less than 2 million dollars during the last 6 years. The company also intends to put in place beneficial measures that will allow developers to “ to innovate and [de] communicate with their users “. Google will reduce its commission to 15% for the first million dollars in annual revenue generated by its app store. At the same time, it will allow developers to appropriate user contacts retrieved by Google Play to communicate with them outside the Store.
Google in the footsteps of Apple
Google’s proposed settlement with app developers for the Android operating system is almost similar to the one Apple put forward in court in 2021. Sued for abuse of position, the company established a $100 million fund of dollars intended to compensate for the shortfalls of the plaintiffs for the period from 2015 to 2021. The regulations also mention the maintenance of the 15% commission and the publication of a transparency report.