HIGHLIGHTS

Google has previously postponed the deployment until March 31, 2022.

The move has been in effect for worldwide developers since September, and Google subsequently reduced its premium cost to 15%.

WHAT'S IN NEWS

Google postponed the launch of the Play Store's billing mechanism in India for a second time on Friday. The deadline for integrating Google Play's billing system has been extended from March 31, 2022 to October 31, 2022, according to the firm. Developers in India who sell their applications and in-app content through Google Play now have an extra seven months to integrate Google Play's billing system, which requires them to pay a commission to Google for app purchases. A Google spokeswoman told Gadgets 360 in a prepared statement that the deadline extension is in accordance to the Reserve Bank of India's recurring digital payments requirements (RBI). 

'We stated in October 2020 that developers in India will be able to interface with Play's billing system by March 31, 2022. We're extending it until October 31, 2022, to provide Indian developers the product support they need for recurring payments via convenient user payment systems like UPI and wallets, as well as extra time in light of revisions to India's recurring digital payments requirements.'

Google had intended to start imposing its native charging system on developers in September of this year. While the move went into effect for worldwide developers in October of last year, the business postponed the upgrade for its Indian developer base until March 2022. It was mostly due to an outage Google experienced as a result of pushing developers to use its own payment system and charging commission for app purchases and in-app transactions performed through Google Play.

Google replied to the issue by claiming that its service charge only applies to developers who sell digital material through Google Play, and that this group accounts for fewer than 3% of the total number of developers on the platform. The first Google reaction did not go over well with developers, and it even resulted in legal action in a few significant areas. In India, the Competition Commission of India (CCI) ordered a comprehensive investigation into the Menlo Park, California-based company's alleged unfair business practises and anti-competitive behaviour with Google Play in November of last year.

In response to these actions, Google lowered its Play store commission to 15% on the first $1 million (approximately Rs. 7,58,23,200) in yearly developer earnings. The change took effect on July 1st. Google said in October that it will revise its Play store commission model by reducing the service cost for all app subscriptions from 30% to 15%, effective January 20, 2022. The charge for selected verticals of apps in the Play Media Experience Programme has also been decreased to 10%. 'We recognise the particular demands of the Indian developer ecosystem and are dedicated to engaging with Indian developers on their growth path,' says the company. 

The decision has been described as a 'short-term reprieve' for Indian developers by the Alliance of Digital India Foundation (ADIF), a research tank located in New Delhi that includes Indian entrepreneurs and startups. It also indicated a considerable disagreement with the justification presented for the extension.

'The fact is that app owners have been in a difficult position since they are confused whether they should comply with Google's new standards despite their objections or wait for CCI's involvement on the interim relief case to maintain the status quo.' 'Google's deadline extension provides them more time, but it doesn't take away their worry,' said ADIF Executive Director Sijo Kuruvilla George.