Google vs startups game makes RMG platforms interested

economictimes.indiatimes.com:

RMG) companies are closely watching the Google versus startups battle over service fees, as they are likely to be the next cohort of application developers to be facing the 15-30% levy beginning June this year.

These companies say absorbing a 30% service fee plus 28% goods and services tax will be a double whammy of sorts and will not be sustainable for any business. They are also considering various options to mitigate the impact.

Elevate Your Tech Prowess with High-Value Skill Courses

Under a pilot programme, Google had allowed a few RMG apps to list on Play Store for free. After running the pilot for two years, it has said a commission would be charged from June and that the marketplace would be opened to all RMG apps.

Delisting themselves from Play Store to avoid paying the commission will not be an easy decision for the apps given the scale and access that the Android maker gives to the 568 million mobile gaming population in India, industry executives said.

Also read | ETtech Explainer: Why are Indian startups up in arms against Google Billing?

“For an industry which is already absorbing the world’s highest taxes, it would be particularly hard to pay additional service fees as they are trying to get their unit economics right,” a gaming company executive told ET.

Internationally, even betting apps