Bandcamp Temporarily Wins Right to Use its Own Payment System on Google Play

Earlier this month, Epic Games filed a request asking for the right to allow Bandcamp to continue operating as usual instead of being forced to adopt Google’s own payments system. According to the new privacy change, it is now mandatory to use Google’s own payment system. As per a new court agreement, Bandcamp temporarily won the right to use its own payment system until Epic’s case with Google is resolved.

Bandcamp Temporarily Wins Right to Use its Own Payment System on Google Play

This also means that Bandcamp’s fans will be able to continue to support their favourite artists on Android devices by buying music and merchandise. According to the Bandcamp, artists will receive the same percentage of sales.

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As per the new agreement, Google will not de-list the Bandcamp app from the Google Play Store. Moreover, Google will not be able to delay or refuse to distribute its app updates. Bandcamp will now place 10% of the revenue generated by the digital sales on Android devices in escrow until the next order. At that point, the court will determine whether it or Google will receive those funds.

It is worth mentioning here that Google’s typical commissions on in-app purchases range from 15% to 30% for most Google Play developers. But Google offered Bandcamp a reduced fee of 10% in exchange for other concessions. Although 10% is lower than Google’s actual commission, Bandcamp still wants to reduce it.

Previously, Bandcamp CEO and co-founder Ethan Diamond explained that the company would have to “either pass Google’s fees on to consumers (making Android a less attractive platform for music fans), pass fees on to artists (which we would never do), permanently run our Android business at a loss, or turn off digital sales in the Android app,” in order to comply with Google’s new policy changes around in-app purchases.

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