Google revamps app store billing, fee structure, brings back Fortnite worldwide

In August 2020, Apple and Alphabet's Google removed Fortnite from their app stores for violating their guidelines. (Pexels)

Google said it would expand billing options and cut developer fees on Android, in a major policy overhaul that helped resolve its long-running dispute with Epic Games and bring back the popular game Fortnite to the company’s app store worldwide.

The sweeping changes to Google’s (GOOGL.O) app store practices, announced on Wednesday, are aimed at boosting competition and expanding choices for developers and consumers. They also address the key concerns brought on by Epic Games’ 2020 antitrust lawsuit.

Epic Games had accused Google of illegally monopolizing how users access apps and make in-app purchases on Android devices. The two companies reached a U.S. court settlement in November.

Alphabet-owned Google said on Wednesday it would now enable mobile app developers to use their own billing systems alongside Google Play’s, and allow them to direct users to their own websites for purchases.

The company is also making it easier for users to download and install third-party app stores on their Android devices. The change will begin outside of the U.S. first, Google said, adding it would bring the update to the country, subject to court approval.

“This gives app stores more ways to reach users and gives users more ways to easily and safely access the apps and games they love,” said Sameer Samat, president of Android Ecosystem at Google.

Google is also lowering in-app purchase service fees, among other changes to its fee structure aimed at reducing prices for developers. It will start rolling out the updated fees in June in select regions, with a complete global roll-out expected by September 2027.

Fortnite was removed from Google Play in 2020 after Epic Games introduced a direct payment system that bypassed Google’s billing, triggering a legal battle over fees and app distribution rules.

The wildly popular battle royale title returned to the Google Play Store in the U.S. in December, following the lawsuit settlement.

Reporting by Deborah Sophia in Bengaluru and Juby Babu in Mexico City; Editing by Vijay Kishore and Shinjini Ganguli