Google is expected to unveil one of its most substantial changes to the Play Store ecosystem starting June 30, 2026, in the US, UK, and European Economic Area (EEA), following sustained antitrust pressure and its legal settlement with Epic Games. The update will significantly expand billing flexibility for developers while replacing the long-standing flat commission model with a tiered fee structure.
Under the new Billing Choice framework, developers will no longer be required to rely exclusively on Google Play Billing. Instead, they will be able to integrate third-party payment systems directly within apps or redirect users to external websites for completing transactions.
ALSO READ | Why Elon Musk Is No Longer A Trillionaire, And What's His Current Net Worth Today
Google will also allow customised payment choice screens, giving developers more control over how users are presented with payment options. At the same time, Google is replacing its single commission rate with a split model consisting of a service fee and a billing fee.
A baseline 10% service fee will apply to a developer's first $1 million in annual revenue, regardless of payment method. For earnings beyond that threshold, standard in-app purchases will face higher service fees, typically around 20% for new installs and up to 25% for existing installs, depending on when the app was installed relative to the policy rollout, as per NDTV.
Developers who continue using Google Play Billing will also incur an additional 5% billing fee, while those opting for external or web-based payments can avoid this charge entirely. Subscription-based revenue and certain qualifying revenue categories remain subject to different treatment under the same framework.
Google is also introducing incentive programs such as Games Level Up and Apps Experience, which offer reduced service fees for developers who meet performance, quality, and technical integration requirements. Eligible apps can see post-threshold rates reduced further through these programs.
ALSO READ | Google Poised To Lose Two More Senior AI Staffers To Anthropic
The rollout will begin in the US, UK, and EEA in mid-2026, expand to countries including Australia, Japan, and South Korea later that year, and reach global coverage by September 30, 2027.
Overall, the changes mark a shift away from Google's traditional 30% commission model toward a more flexible, usage-based structure aimed at increasing competition in in-app payments and responding to global regulatory pressure
Essential Business Intelligence, Sharp Market Insights, Practical Personal Finance Advice, Daily Fuel, Gold and Silver Prices and Latest Stories — On NDTV Profit.