According to The Verge, Google has revealed its plan to comply with Judge James Donato’s court order, with a January 28th deadline for developers to enroll in new programs for “alternative billing” and “external content links.” The company says it will charge developers $2.85 for every app and $3.65 for every game a user installs within 24 hours of clicking an external link away from the Play Store. On top of that, it’ll take a 20% cut of in-app purchases and 10% of auto-renewing subscriptions made through those externally-linked apps. For developers offering their own billing, Google is only offering a 5% discount off its standard fees, charging 25% for in-app purchases. While Google says it won’t collect these new fees yet, Epic Games has already stated it will challenge them if they come into effect, and Judge Donato has scheduled an evidentiary hearing for January 22nd.
The compliance that isn’t
So, let’s get this straight. A judge tells Google to stop illegally tying its billing system to its app store and to let developers link to outside downloads. And Google’s response is to create a byzantine new fee structure that basically makes doing so pointless? Here’s the thing: charging $3.65 just because someone clicked a link and then installed a game is wild. It’s not a payment processing fee. It’s a toll for the crime of leaving Google’s walled garden, even though the court said the garden walls were illegal.
And the 5% discount for using your own billing? That’s basically an insult. It’s a calculated move to make the effort of integrating a whole new payment system financially nonsensical for most devs. Why go through all that compliance—submitting to Google’s review, integrating their tracking API, reporting all transactions within 24 hours—for a measly few percentage points? Google’s betting most won’t bother, and they’re probably right.
Judge Donato’s next move
Now, this all feels like a direct provocation to the court. Look at what just happened with Apple. Judge Yvonne Gonzalez Rogers found Apple in contempt for imposing a 27% fee on external payments, and an appeals court backed her up. That court specifically said Apple could only charge a fee based on the “costs that are genuinely and reasonably necessary.”
Google’s claim that its fees “reflect the value provided by Android and Play” is the same kind of argument Apple made. And it was rejected. Judge Donato has already been skeptical of Google and Epic’s proposed settlement. With this move, Google seems to be testing exactly how far it can push, maybe hoping the settlement gets approved instead. But announcing these fees before the January 22nd hearing is a bold, arguably arrogant, strategy.
The small-print trap
Don’t miss the other hooks buried in this. It’s not just the fees. Developers have to report all transactions, including free trials worth $0. They have to use a Google API for tracking. Their apps still need Google’s review. This isn’t opening a door. It’s installing a turnstile, a security camera, and a reporting booth in front of a slightly ajar door.
The cap for small developers earning under $1 million is a slight olive branch, but again, it’s just a 5% discount from an existing program. Is that real relief, or just a token gesture to avoid the appearance of crushing the little guy? I think we know the answer.
What happens next?
Basically, we’re in a waiting game. Epic has already fired the warning shot, saying it will challenge these fees. The January 22nd hearing is now incredibly consequential. Will Judge Donato see this as good-faith compliance or a middle finger to the court’s order?
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