Google pays smartphone makers to stop using third-party app stores

The next round of litigation between Epic Games and Google has revealed curious information about how the search giant is struggling with the emergence of third-party app stores on smartphones with Android.

Google pays smartphone makers to stop using third-party app stores

According to internal documents, since 2019, Google launched the Premier Device Program, under which smartphone manufacturers began to receive more royalties from the search engine, but in return they agreed not to install third-party app stores on their devices.

More precisely, it was about 12% deductions instead of 8%, that is, an increase in revenue from the negotiated direction by one and a half times. For selected companies, Google has offered additional deals. For example, LG and Motorola received 3-6% of what users of smartphones of these manufacturers spent on Google Play.

But Sony and Xiaomi were not part of the program, although, as we know, there are still no third-party app stores in the global market in smartphones of these manufacturers.

The report also contains interesting data. In 2017, only 4.4% of all apps installed on all Android smartphones in the US were installed outside of Google Play.

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