It turned out that Google proposed to Netflix ``special treatment with a 10% in-app purchase fee'' but was refused.



Netflix, a major streaming service, does not offer in-app purchases to new users at the time of writing, and only offers direct payment from the browser. In the past, Google, which operates the Android app store Google Play, offered Netflix ``special treatment that would reduce in-app purchase fees to 10%, which is lower than usual,'' but the offer was rejected by Netflix. was reported.

Google offered Netflix a sweetheart deal to pay just 10 percent on Google Play - The Verge

https://www.theverge.com/23954852/google-netflix-app-store-deal-play-10-percent-revshare



Google offered Netflix a lower app fee, but it would have still lost money
https://www.androidauthority.com/google-play-store-netflix-lower-billing-fee-3384510/

In the past, Netflix users could pay for their subscriptions directly from the mobile app, but in 2018, paying for subscriptions through Google Play and the App Store was phased out one after another. At the time of article creation, it is not possible to pay subscription fees from the Netflix app distributed on Google Play, and even for apps distributed on iOS, new users after 2019 cannot use payment via the App Store. .

Paul Perryman, Netflix's vice president of business development, said in a sworn video statement regarding the Google vs. Epic Games antitrust lawsuit seen by overseas media outlet The Verge that Google once ``reduced fees for in-app purchases. He revealed that he had proposed a special treatment of 10%.

In September 2017, Google offered to make Netflix a development partner under a program called 'Living Room Accelerator Program (LRAP++).' The contract seems to be that the fee will be 10%, cheaper than the usual 15% (from the second year onwards), on the condition that Netflix commits to Google Play's billing service worldwide.



However, Netflix rejected Google's offer and ultimately discontinued paying subscription fees through Google Play. A separate internal document filed by Netflix explains why this is the case: 'Assuming all Android in-app registrations were made through Google Play billing services, Netflix could earn up to $250 million in one year (approximately $280 million at the then-current rate). billions of yen), even after accounting for the increase in registrations from maintaining payments on Google Play.' 'If Google's payment system outperforms ours, or We do not see any scenario that offers comparable benefits.'

Google's lawyer also did not object to this in a sworn video. On the contrary, The Verge reports that Netflix has acknowledged that it is available on virtually all video playback devices, suggesting that apps of Netflix's scale can afford to bypass app stores and rely on browser sign-ups.

Google spokesperson Dan Jackson did not comment on the offer made to Netflix when contacted by The Verge. However, he suggested that it is common for Google to offer different pricing structures to different developers, saying, ``Google Play is taking into consideration the different needs of the developer ecosystem and the economics of different industries and app verticals.'' It's no secret that we offer a variety of rates that are taken into account. It's like a streaming video pricing structure.'

In addition, in 2021, Google has lowered the subscription fee on Google Play to 15% from the first year, and for e-books and music streaming services, it has been lowered to an even lower 10%.

Google Play's subscription fees will be reduced to 15% overall, and e-books and music related prices will be further reduced to 10% - GIGAZINE



in Mobile,   Web Service, Posted by log1h_ik