Google Updates Play Store Rules After EU Pressure Under Digital Markets Act

Google has announced changes to its Google Play Store policies in response to mounting pressure from the European Union over alleged breaches of the bloc’s new Digital Markets Act (DMA). The move comes after EU regulators charged the tech giant in March with limiting competition by restricting app developers from steering users toward alternative purchasing channels outside of Google Play.

The European Commission has been scrutinizing Google since early 2024, questioning whether the company unfairly prevented developers from informing customers about cheaper offers elsewhere and whether its own vertical services, such as Google Flights, were being favored. Regulators also flagged Google’s service fees, arguing they go beyond what is necessary to cover costs.

In a blog post, Google said it would update its External Offers Program for the EU, introducing revised fees and additional options for Android developers. The company emphasized that while it still has concerns about user safety and potential exposure to harmful content, it would comply with EU demands following extensive discussions with regulators and industry experts.

Clare Kelly, Google’s EMEA Senior Competition Counsel, acknowledged the regulatory pushback but stressed that the changes were designed to balance competition requirements with user protection. “We’re updating our External Offers Program for the EU with revised fees and more options for Android developers, following DMA discussions with the European Commission,” she stated.

The company has already faced over €8 billion ($9.3 billion) in fines from the EU for antitrust violations and could face penalties of up to 10% of its global annual revenue if found guilty of breaching the DMA. The case underscores Brussels’ determination to rein in the dominance of Big Tech firms and reshape how digital marketplaces operate across Europe.

Source: Reuters