Google Play cuts subscription fee from 30% to 15% starting Jan 1, 2022

 Google Play currently charges 30 percent fees for subscription services after 12 months. Now this will be 15 percent for subscription services from the first day

Google said today that starting on January 1, 2022, it will be decreasing the service fee for all subscriptions on Google Play to 15 percent from 30 percent, and for developers offering subscriptions, this means that first-year subscription fees will be cut in half.

"Digital subscriptions have become one of the fastest-growing models for developers but we know that subscription businesses face specific challenges in customer acquisition and retention. We’ve worked with our partners in dating, fitness, education, and other sectors to understand the nuances of their businesses. Our current service fee drops from 30 percent to 15 percent after 12 months of a recurring subscription. But we’ve heard that customer churn makes it challenging for subscription businesses to benefit from that reduced rate. So, we’re simplifying things to ensure they can," said Sameer Samat, Vice President, Product Management at Google, in a blog post on Thursday.

Google Play currently charges 30 percent fees for subscription services after 12 months. Now this will be 15 percent for subscription services from the first day.

Earlier this year Google launched the Play Media Experience program to encourage video, audio, and book developers alike to help grow the Android platform by building cross-device experiences. This helped developers invest in these multi-screen experiences with a service fee as low as 15 percent, the firm said in the blog post.

The tech giant further said e-books and on-demand music streaming services, where content costs account for the majority of sales, will now be eligible for a service fee as low as 10 percent.