Google Allowed Spotify to Bypass Play Store Fees, Executive Confirms Amid Epic vs Google Trial

During the ongoing Epic vs Google trial, a Google executive revealed that the tech giant granted Spotify special privileges, enabling the music streaming service to sidestep the mandatory Play Store fees. Google’s Head of Partnership, Don Harrison, testified that Spotify processed its own payments without paying any fees to Google, provided users opted for this method. While Google charges a 15 percent commission on most publishers’ app purchases, Spotify paid a 4 percent commission only when customers chose Google’s in-app billing service.

The revelation also disclosed the existence of a confidential deal between Google and Spotify, which included a “success fund.” Both companies reportedly committed $50 million each to this fund. Despite these arrangements, Spotify is still obligated to pay the standard in-app purchase commission on Apple’s App Store, where the fees can go up to 30 percent per transaction. Notably, Spotify, like other services, does not permit users to subscribe via its iOS app.

While these revelations shed light on Google’s dealings with Spotify, it remains uncertain how they will impact Epic Games’ antitrust case against Google. Epic Games previously sued both Apple and Google over alleged antitrust practices, including restrictions on alternative billing systems and app stores. The trial has brought forth various details about Google and other companies, including a multibillion-dollar deal with Samsung for default placements on Galaxy smartphones.

The Epic vs Apple trial concluded earlier this year, with the Ninth Circuit Court upholding a 2021 decision that found Apple’s ban on competing app stores on iOS did not violate US antitrust law. Although Epic has appealed the verdict to the US Supreme Court, Apple seeks to overturn the ninth circuit court’s order blocking its anti-steering rules.