Google has been fined $700 million for its practices in the Android app store, a significant penalty following a jury verdict from last December. The core issue centered on Google compelling app developers to use its payment system for in-app purchases, a move that faced substantial backlash from both developers and the US government.
The settlement introduces several key changes:
- Google’s commission on in-app purchases will be reduced from 15-30% to 11-26%.
- App developers are now allowed to use their own payment systems without being mandated to use Google’s.
- Developers can set their app prices independently of Google’s permissions.
In addition to these changes, Google will pay $630 million to Android users who made app or in-app purchases between 2016 and 2023. Eligible users could receive a minimum payment of $2. Furthermore, $70 million will be allocated to various U.S. states involved in the lawsuit.
This settlement follows a $400 million fine that Google faced last year, indicating a trend of increasing scrutiny and legal challenges for the tech giant. This outcome is seen as a victory for both consumers and developers, promising more competition, better prices, and greater choices in the app marketplace.
Google will notify eligible consumers soon, so users should monitor their inboxes for further information on how to claim their compensation.
