Google and Epic settle, Play Store commissions cut to 20%

Google and Epic Games reached a legal settlement announced in early March 2026 that changes Play Store economics and distribution rules, and the companies say it resolves their disputes worldwide pending U.S. court approval. The agreement sets a new baseline service fee of 20% on in‑app purchases, and multiple reports say Google will charge an additional 5% fee for transactions processed through Google Play Billing.

The settlement’s fee picture varies across reports. TechCrunch lays out a detailed split, saying the new service fee will be 20% for in‑app purchases on new installs and 10% for recurring subscriptions, with another 5% tacked on if developers use Google’s billing system. Slashdot offers a divergent claim that fees will be “20% or 9% depending on the transaction type,” a figure not echoed by TechCrunch or other outlets. Reporters and developers will need to verify whether the 5% Google Play Billing fee is additive to the service fee and which transactions map to the conflicting 9% or 10% figures.

Beyond fees, the settlement creates a Registered App Stores program to ship in the next major Android release, according to Slashdot and TechCrunch reporting. Approved third‑party stores will be able to register and install via a website with a single click using neutral language, and Google says those stores must meet certain quality and safety requirements. TechCrunch notes the program will roll out in markets beyond the U.S. first and will come stateside only after Judge James Donato signs off on the settlement.

Legal scope and judicial scrutiny are central to this deal. Slashdot reports the settlement converts Judge Donato’s United States‑only injunction into a global agreement running through June 2032, while ArsTechnica records Donato’s January skepticism that the arrangement could be a “sweetheart deal” favoring Epic over other developers. 9to5Google reports Donato suggested Epic might be “helping Google market Android” and that Google could be “using Epic’s core technology.”

Commercial terms disclosed at a hearing add another layer. 9to5Google reports that the judge revealed the arrangement includes “new business between Epic and Google” and that Epic will pay Google $800 million over six years, though the companies are keeping specific product work confidential. Epic formally praised the changes, with a TechCrunch‑cited statement that “These changes will evolve Android into a true open platform with competition among stores,” and CEO Tim Sweeney posted “THANKS GOOGLE!” on X.

Practical implications for developers and players remain partly unknown. Silicon Canals and ArsTechnica note Epic gains official status to operate a competing store and could bring Fortnite back to Play Store distribution, while critics point out Google retains billing infrastructure and default distribution advantages. The settlement requires Judge Donato’s approval in the U.S., and outstanding questions include exact fee mappings, the June 2032 legal term reported by Slashdot, the $800 million commercial payment mechanics reported by 9to5Google, and precise rollout timing for the Registered App Stores program. Expect follow ups as the court docket and settlement text become public.