Google is conducting a trial on new payment options for Android users. Google is allowing some app developers to offer the option for payments outside the Google Play payment system in Australia, Europe, India, Indonesia and Japan.
Google quietly released the Android payment app pilot, following global pressure to provide more payment options.
There are fewer steps for developers to endorse Google’s service in the US and four other countries.
Google reduced the 15% fee that developers currently pay on Play to only 1%.
The requirements are that there have to be customer support, a paid dispute resolution system and the app must be able to complete the transactions with credit cards.
From 1st April, all apps that offer alternative payment options can start to offer this service.
Google said, “Android is always a uniquely open operating system and we continue to evolve our platform.”
Following pressure by EPIC Games, Apple and Google have removed in-app payment from their systems. This move comes as a result of major lawsuits brought by EPIC Games, the creators of Fortnite, which was banned for offering an alternate system for in-app payments.
Apple does not offer alternative payment options but loosened their policy last year by allowing developers to email users about alternate means of payment outside the app.
Australia’s Competition and Consumer Commission argued in April 2018 that the two companies’ revenue share was too high and developers should be allowed to advertise their apps on platforms such as Google and Apple with other methods of payment.
The ACCC supports any voluntary measures by Google that allow Australian consumers to consume services from apps.
The ACCC’s next report is due in September. Apple was accused by the European commissioner for competition of breaking European law over its fees in app transactions.
Apple and Google now offer credit card payment options for purchases within their apps in South Korea. This became possible following a law passed last year, which requires third-party payment systems to be created by the companies.
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