Google and Epic Games Reach Deal to Allow Third-Party App Stores on Android Worldwide
In a significant development, Google and Epic Games have come to an agreement that could potentially put an end to their long-standing dispute. This deal is set to open the doors for third-party app stores to be accessible on Android devices globally.
Earlier in October 2024, Judge James Donato had mandated that Google must permit the distribution of third-party app stores through Google Play. Subsequently, Google made adjustments last month to allow third-party payment systems following a US court ruling that prohibited Google from restricting customers to using Google Play Billing. However, these rulings were only applicable within the United States.
Now, Google and Epic have jointly filed a motion outlining a deal that will allow third-party app stores to operate on Android devices worldwide. As part of the agreement, Google will take a reduced commission of either 9% or 20%, depending on the type of transaction, for payments made through Play-distributed apps utilizing alternative payment methods. The specifics of how Google will determine the applicable rate for transactions remain unclear from the proposal.
The proposed deal is subject to approval by the US court, with the next hearing scheduled for tomorrow (November 6). If approved, the deal will be in effect until 2032 and will be applicable globally.
In response to the agreement, Epic CEO Tim Sweeney expressed his enthusiasm, hailing the deal as a breakthrough that aligns with Android’s original vision as an open platform. Android president Sameer Samat also shared his excitement, emphasizing the focus on expanding developer choice and flexibility while reducing fees and promoting competition.
Several companies have already initiated or are gearing up to launch alternative app stores and third-party payment systems, with the new deal expected to expedite these efforts. Epic Games recently introduced its Epic Web Shops service for PC and mobile devices.
“This marks an important moment for the Android ecosystem”Chris Hewish, Xsolla
Chris Hewish, president of video games payment provider Xsolla, lauded the proposed deal as a significant milestone for the Android ecosystem. He highlighted the benefits for developers and users, emphasizing the potential for increased flexibility in operations and competitive pricing.
Similarly, Gil Tov-Ly, CMO of payment provider Appcharge, welcomed the agreement, noting that it brings real choice for players and publishers while reshaping the economics of web stores.
