Google will lower application (app) marketplace fees to a maximum of 20% and allow external billing. It is also opening the door for third-party app markets to enter the Android ecosystem. As Google, which has monopolized the app market alongside Apple, makes a more open gesture, attention is focused on whether the app distribution structure will change.

On the 4th (local time), Google unveiled this fee overhaul plan for its app marketplace ‘Play Store’ via the Android Developers Blog.

According to the plan, in-app payment fees that had been as high as 30% will be reduced to a maximum of 20%. A 20% fee will apply to app purchases, and a 15% fee will apply to payments for various services outside the app (content, items, etc.). An additional fee (5%) is added when using Google’s billing system, but not when using external billing systems. Google and Apple have leveraged their dominant positions in app markets to effectively force the use of their own billing systems and have collected hefty fees.

Regarding this decision, Google said, “It is to provide more choice and openness,” adding, “We believe this change will reduce development costs and spur more innovation.”

The new fee structure will roll out sequentially, starting in June in the United States, the United Kingdom, and Europe; in September in Australia; and in December in Korea and Japan. Google plans to complete the global expansion by next year.

Google has also lowered barriers to entry for third-party app markets within the Android mobile operating system (OS) ecosystem. Previously, installing app markets other than the Play Store in the Android environment required cumbersome procedures, but the overhaul streamlines the process. However, Google explained that standards related to security and other factors must be met.

This overhaul by Google follows years of antitrust-related legal disputes and regulatory efforts in the United States and Europe. Last year, as it concluded a five-year legal battle with Epic Games over app market fees and the forcing of in-app payments, Google submitted a settlement that included allowing external payments. Based on this overhaul, Google said it has ended its dispute with Epic Games.

Lee Byung-jin, CEO of Pangsky, a mid-sized Korean game company that filed a lawsuit against Google last year seeking the return of app fees, said, “We hope this settlement will be reflected in Korean game companies’ lawsuits to recover fees, so they can get back the fees previously paid and the stagnation in the game market can be resolved.”

However, it remains uncertain whether a tectonic shift will occur while Google and Apple still control more than 90% of the app market. An industry official said, “For now, we’ll have to wait and see.”