Google distributes the profits among the mobile phone and tablet makers that are riding Android. This is a small portion of your earnings based on searches from devices or apps purchased through your store, the Google Play Store. But now, according to the documents from the Epic lawsuit, it looks like Google had an even more succulent program going on.
As part of Epic’s antitrust lawsuit against Google over commissions from purchases in Fortnite and other business games, Google is known to ban the pre-installation of alternative app stores to Google Play. Although the correct expression is not “ban”, because technically Google pays you more if only Google Play is present on your device.
Applications with privileges to install apk files
Epic’s lawsuit against Google, but also that of Apple, continues to inform us about how the two companies work with manufacturers and collaborators, and has also provoked several movements. For example, Google and Apple have lowered the fees charged for purchases on Google Play, whether in the form of apps and games or add-ons for them. But now a premium payment program has been unveiled.
The Premier devices program, launched from 2019 according to documents revealed as a result of the trial, was to pay a higher commission to manufacturers who decided not to install app stores other than Google Play. Store. What the document says, in a more technical way, is that “applications with APK install privileges” should not be installed. That is, alternative stores to Google Play.
Apparently Google already pays 8% commission to mobile phone makers based on Google Play searches and purchases made from their devices (not all of them, we’ll see later) and this Premier program extends those commissions. at 12%, although it looks like the expansion is somewhere between 3% and 6% more, so there will be manufacturers who have gotten up to 14% commissions from Google.
Google increases commissions between 3% and 6% if you agree not to install alternatives to the Google Play Store
Of course, not all manufacturers have agreed to join this Premier program, nor all of their products. According to the document, Motorola and LG have 98% and 95% of their phones in the Premier program while other manufacturers, such as Sony and Xiaomi, only have 50 and 40% of their products in the program.
By May 2020, many of the world’s largest and most popular Android OEMs had accepted Google Play exclusivity for most of their new Android devices. Motorola and LG have both committed almost all (98% and 95%) of their devices to the Premier program. Chinese giant conglomerate BBK, which manufactures and sells a range of Android devices under its Oppo, Vivo and OnePlus brands, among others, has designated around 70% of its new devices as “Premier.”
Moreover, it seems that the program works because the same document states that Google is not afraid of this type of downloads far from Google. According to the company, app downloads directly or from competing stores represent only 4.4% of the total in the United States. We assume this is because the Premier program prevents users from knowing about this type of alternative stores, although this data is never known.
Via | The edge