Google Offers Payment Alternative for Spotify

In the new pilot option, Google tries a new approach to the payment system. It allows Spotify to offer its own payment methods to the users. According to Spotify officials, this trial is only the first step to the long-time agreement.

On Wednesday, Alphabet, the owner of Google, announced that they agreed with Spotify to try a new approach to the payment system. Instead of using only one system provided by Google, Spotify users can now pay via Spotify. There is a choice on Google Play Store for Spotify users. They can either use Google Play Billing or try the payment system offered by Spotify. This option is available for the Android app as a part of the experiment.

Google received numerous complaints over the years about the lack of choice when it comes to the billing system. App developers said that Google is using its position in Google Play Store to dictate the rules. Once they began to sell apps, Google offered only one way of payment and it was Google’s owned system.

After the major scandal and the new law implemented by the South Korean government, Google decided that it is time to try something new. It picked Spotify to be the first app for its experiment. Google announced that they want to try the new approach to see whether users will be happier with it. The company plans to allow other developers to offer another payment system to their audience in the future. Spotify hopes that this trial will be turned into an agreement for multiple years.

The major problem in this system is the high fees that Google collects. It takes a 10-30 percent fee as payment. Developers believe that the price is too high. Yet, they don’t have much choice since there is no alternative.

How many apps do you buy from Google Play Store during the year? Do you like the new option on Spotify? Share your thoughts in the comments below.