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Google admits Spotify pays no Play Store fees because of a secret deal (techcrunch.com)

480 points by thunderbong · 1005 days ago · 2 comments on HN

Article summary

Google has admitted that Spotify pays no Play Store fees due to a secret deal, with the audio company paying a 4% fee when Google processes payments. This deal is part of a broader partnership that includes substantial financial investments and product integrations. Google typically takes a 15% cut on subscription apps, but offers reduced fees to certain developers through programs like user choice billing. The details of the deal surfaced during the Epic versus Google trial.

Main themes

  • Google Play Store fees
  • Secret deals with developers
  • App store competition
  • Fairness and equality for developers
  • Anti-competitive practices
  • Tech company partnerships

What commenters say

  • The secret deal between Google and Spotify raises questions about fairness and equality for other developers on the Play Store.
  • Google's willingness to offer reduced fees to large companies like Spotify and Netflix may be seen as a strategic move to keep them on the platform.
  • The revelation of the secret deal may have implications for the ongoing Epic versus Google trial and the future of app store fees.
  • Some argue that Google's practices are anti-competitive and favor large companies over smaller developers.
  • Others believe that Google's reduced fees for certain developers are a necessary step to remain competitive in the market.
  • The deal highlights the complex and often secretive nature of agreements between tech companies and app developers.
  • There are concerns that the secret deal may create an uneven playing field for developers on the Play Store.