Amidst backlash from the Indian startup ecosystem, Google on Monday said it has deferred its earlier controversial decision of charging 30 percent commission on apps that have subscription services for digital goods on its Play Store in India till April 2022.
In a blog post, Google said, “First and foremost, we want to reiterate that we are deeply committed to the success of the Indian ecosystem — we do not succeed unless our partners succeed. Being mindful of local needs and concerns, we’ve taken the following immediate steps.”
Image Source: Shutterstock
For this, Google has undertaken a few key steps, which include setting up listening sessions with leading Indian startups to understand their concerns more deeply, and setting up policy workshops to help clear any additional questions about its Play Store policies.
The third, and the most critical point Google said, “And, we’re also extending the time for developers in India to integrate with the Play billing system to ensure they have enough time to implement the UPI for the subscription payment option that will be made available on Google Play. For all apps, that currently use an alternative payment system, we set a timeline of 31st March 2022.”
On September 29, Alphabet-owned Google announced changes in its policy on how it charges a commission for those apps which have subscription services on its Play Store, and wanted everybody to use its payment gateway for the payments.
This meant a 30 percent commission charge on any app which has a subscription service, which was a steep price. Indian startups protested against the Google policy, and also sought the intervention from the Indian government.
At the same time, startups also sought to build an Indian app store, which would give the autonomy on how they can run the apps.
“At Google, we have always had a long and deep commitment to India, and working alongside the startups and developers has given us a more meaningful understanding of how technology can be more helpful. And, so we remain committed to engaging with the community, to listen, and find the right ways to help the Indian ecosystem grow and flourish,” Google said in the blog post.
Edited by Suman Singh
India’s most prolific entrepreneurship conference TechSparks is back! With it comes an opportunity for early-stage startups to scale and succeed. Apply for Tech30 and get a chance to get funding of up to Rs 50 lakh and pitch to top investors live online.
Link : https://yourstory.com/2020/10/google-play-defers-charging-30pc-indian-apps-payment-startups
Author :- Thimmaya Poojary ( )
October 05, 2020 at 11:17AM
YourStory