One deal does not change the anti-competitive status quo.
How will it work?
40% off TNW Conference!
you’re free to choose the one you like to make that payment.
But we dont know how exactly this will pan out.
This new payment system, called User Choice Billing, will roll out later this year.
Whats in it for Spotify?
While its fight with Apple will continue, it could find an ally in Google.
Notably, Spotifys Android app already has links to its website to purchase subscriptions.
Plus, it sends notifications to users about various offers on the subscription.
But for the streaming company, theres much more at stake.
I want to highlight the make purchases part.
And dont forget,NFTs could be coming soon.
Whats in it for Google?
Android has more options for developers and users.
Plus, apps still have options to promote subscriptions through links (at least till March 31).
But all of this might not be enough for the Mountain View-based tech giant toescaperegulators wrath.
That means its looking for options to fall back on in case theres a new rule from lawmakers.
Working with a large company might benefit in testing out different use cases.
So when lawmakers force alternative payment regulations, Google can easily enable this process for developers.
Whats in it for developers?
But Spotify is getting a reprieve from this.
Not everyone is happy or impressed by Googles decision.
As manyfolkson Twitter noted, theres no clarity about the programs availability and terms to smaller developers.
Its why we need real platform neutrality.https://t.co/t5ATyhgBIb
Marshall Steinbaum ?
(@Econ_Marshall)March 23, 2022
Interesting.
Whats more, It reduced its cut from 30% to 27% not much of a discount there.
There are no details as to how much of a cut Googles taking out of this deal with Spotify.
But the streaming service might be getting a bigger discount.
Its important for them to know if incorporating other payment methods is worth the effort and money.
Thats why details are important.
But we might have to wait for a while for that, given the pilot has just been announced.
That’s one heck of a mixed bag.
He likes to say “Bleh.
That’s one heck of a mixed bag.
He likes to say “Bleh.”
