Google is reducing its 30 percent cut to 15 percent for all Android developers for the first $1M of revenue every developer earns each year. This is effective from July 1st.
“With this change, 99% of developers globally that sell digital goods and services with Play will see a 50% reduction in fees,” Google claims in an official statement.
This is similar to how Apple cut its commission to 15% for devs making under $1 million per year. However, Apple’s reduced commission is deactivated for the remainder of each year the moment a participating developer surpasses $1 million in this year’s revenue. Not so with Google.
“Scaling an app doesn’t stop once a partner has reached $1M in revenue — we’ve heard from our partners making $2M, $5M and even $10M a year that their services are still on a path to self-sustaining orbit. This is why we are making this reduced fee on the first $1M of total revenue earned each year,” Sameer Samat, VP of Product Management at Google says.
So no matter how much you make on Google Play annually, the first $1 million you earn each year will only get charged 15 percent.