Google extended deal to Netflix over Play Store fees to retain its subscription: Report

A document from a potential class-action lawsuit against Google revealed that tech services like Netflix, Spotify and Tinder wanted to circumvent Google Play's billing system

e4m by exchange4media Staff
Updated: Aug 30, 2021 11:20 AM
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Google had reportedly offered Netflix a more favourable cut in Play Store fees to ensure that the streaming service stays on the Play Store platform. Prior to this, there were reports of Apple offering Netflix a deal to retain its account on the App Store payment system. 

A document from a potential class-action lawsuit against Google revealed that tech services like Netflix, Spotify and Tinder wanted to circumvent Google Play's billing system. Netflix had even wanted to use an alternate payment system, according to reports. 

In an attempt to appease Netflix, Google offered to take a big cut in revenue shares, indicating that like Apple, Google too had to make accommodations for Netflix. 

Apple reportedly offered Netflix deals like Apple TV bundle, in-depth performance data, video partner programme, email promotions by Apple and promotions in Apple Store. 

Google claimed that the 30% Play Store commission was high and could be reduced, echoing Apple's lawsuit statements. 

The document mentioned that Play Store could break even with a fee of 6%. It's decision to charge 30% has no other objective other than "copying Apple."

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