Google is allowing some Android apps to use their own payment systems after battling it out with Epic Games’ Match Group and Bandcamp, but the move could be temporary. The company is facing legal action for requiring apps from the Google Play Store to use its billing, and Google’s proposed interim solution is to let those apps use their own payments — with a catch.
Match Group on Friday withdrew its temporary restraining order against Google, according to TechCrunch, which it had filed in its antitrust lawsuit against the company. Match got some “concessions” from Google, including making sure its apps wouldn’t be kicked out of the Play Store for using alternative payment options, TechCrunch reported. Rather than pay Google, Match is setting aside $40 million in an escrow account, claiming the charges are illegal and awaiting a judge’s decision.
The lawsuit, which alleges that Google “illegally monopolized” the Android app market with its Play Store policy, is still ongoing. Google’s Play Store policy requires app developers to use the company’s billing system and then take a portion of the revenue. In the original complaint, Match claimed that Google was holding it “hostage”, while Google replied that it charged for services “like any company” and that its commission was the “lowest rate among the major platforms”. -forms of applications”.
“We plan to refute Match’s baseless claim and will counter-sue for damages and breach of our developer agreement,” a Google spokesperson told Protocol. to integrate the Google Play billing system.
Google also settled its differences with Epic Games on Friday and will not kick Epic’s subsidiary Bandcamp out of the Google Play Store for using its own payment system, Music Business Worldwide reported. Under the agreement, Bandcamp will also open an escrow account for Google’s fees, setting aside 10% of its revenue generated from digital sales until the Epic vs. Google case is resolved, the company said. in a blog post.
Epic acquired online music platform Bandcamp in March, which has used its own billing system on Android since 2015. Bandcamp has been threatened with being booted from the Google Play Store if it doesn’t start using the Google’s proprietary billing system before June 1. Bandcamp has been able to use its own system for so long because Google has an exemption from its billing rule for digital music companies. , according to the blog post.
“We will continue to defend our business against Epic’s campaign to not pay for the value they get from Google Play,” the Google spokesperson said. “Epic has now agreed to pay a standard service fee of 10% in escrow as a reserve against potential damages.”
Epic, Fortnite’s parent company, sued Apple for similar anti-competitive behavior.
This story was updated on May 20, 2022, with comments from a Google spokesperson.