As the Google v. Epic antitrust trial continues, more of Google’s undisclosed deals are coming to light. The tech giant was brought to court after Epic Games challenged itsPlay Storefees, leading some to question if it was stifling competition. Most recently, a deal Google tried to forge with Netflix surrounding discounted in-app purchase fees was made public. Now, a similar deal between the tech company and streaming company Spotify has been revealed in court.
As reported byThe Verge, Spotify only had to pay 4% of what it earned from users who chose to make payments via Google as a Play Store commission — this is less than what some companies pay as a commission fee to Google, which is typically around 15%. Spotify could avoid paying commission altogether if users chose to use its in-house payment method, rather than Google’s payment processor.
Google’s head of global partnerships Don Harrison confirmed the information — which Google tried to keep discreet — while on the stand in court. Following the emergence of the deal’s details, Google spokesperson Dan Jackson acknowledged the difference in service fees. However, he explained to The Verge that many of the “key investment partnerships” with developers — some who may face larger commission fees than companies like Spotify — are essential to improving the user experience. The names of other developers who have benefited from smaller commission fees have yet to be disclosed.
Inthe Netflix dealthat was revealed during the ongoing antitrust trial, Google reportedly offered the streaming giant a discounted rate of 10%. Netflix VP of business development Paul Perryman confirmed the information in court, and in the end, the company decided to reject Google’s offer. Similarly, Epic Games received an offer from Google worth about $147 million to host its Fortnite title on the Play Store — if the company agreed to hand over the usual 30% of in-app purchases to Google. Like Netflix, Epic decided to reject Google’s offer. As a result, Fortnite players needed to find places other than the app store to download the game and sideload it onto their device.
While the results of the antitrust trial have yet to be determined, this may not be the last of the under-the-table deals that eventually come to light. It seems that Google has more skeletons in its closet than what the public knows, and the courtroom could be where they are finally revealed. That being said, the tech company is clearly taking steps to limit just how much is publicized as the trial rolls on. Thus far, its attempts to do so have seen limited success.
