Google has settled its disagreement with Epic Games by lowering app store fees to 20%
Google has come to terms with Epic Games by altering its Play Store framework, now offering reduced in-app purchase commission rates, down to 20%.
In a blog post by Sameer Samat, who leads Google's Android ecosystem, the company explained a shift in their business strategy that separates fees from their billing systems while introducing lowered service charges.
The reduction in IAP commission fees sees developers using Google Play's billing mechanism in the European Economic Area, the UK, and the US incurring an extra 5% service fee, compared to region-specific rates elsewhere.
Developers involved with the new Apps Experience initiative or the updated Google Play Games Level Up scheme can avail themselves of reduced charges: a 20% service fee on existing app installs and 15% for new installs.
The revised service charges will be activated by June 30, 2026, in the EEC, the UK, and the US. Australia will see these changes by September 30, 2026, with Korea and Japan following by December 31, 2026. A worldwide application is set for September 30, 2027.
Google plans to launch an optional program for developers keen on sideloading qualified external app stores. This initiative is set to begin outside of the United States first, contingent on court approval of their agreement with Epic.
In November of the previous year, Google and Epic entered into a pact that allowed third-party app stores to function on Android devices globally, also establishing a suggested commission of 20%.
"We consider these steps as pivotal in strengthening the Android platform by making more successful developers and providing higher-quality apps and games across various devices for all users," Samat remarked. "We are eager to keep collaborating with the developer community in crafting the future of digital interactions."
Tim Sweeney, CEO of Epic Games, commented on the update, confirming the global comeback of Fortnite on Google Play stores.
"The Epic Games Store maintains its support for Android globally in addition to Windows and Mac, and the process for installing on Android will become significantly simpler later in 2026."