Google and Match Group have signed a temporary agreement so that any in-app payments made in Tinder and Hinge will be made using a third-party system.
The details of this arrangement have been shared in a dedicated Google blog post ahead of the full trial and ensure that Match Group’s most popular apps — including Hinge and Tinder — will continue to be listed on the Play Store despite “its violation of our [Google’s] terms.”
Match Group filed a complaint claiming that Google has “illegally monopolized the market for distributing apps” because of the in-app billing system requirement that takes a 30% share of any in-app purchases on Android devices that make payments through the Play Store.
This temporary agreement will remain in place until the start of the trial between Match Group and Google — which is set to start in 2023. Prior to this case proceeding, Google and the Tinder developer have made certain promises that have helped this deal to be signed.
Instead of paying the regular Google commission for any payments that will be made through its app portfolio, Match Group has set up a $40 million escrow fund for service fees that is inaccessible until an agreement has been reached. The firm will also provide Google with monthly accounting of all in-app purchases from June 1 right through the upcoming trial.
There also needs to be a “good faith” effort for Match to integrate or offer Google’s billing systems as options within its app portfolio — which predominantly includes dating applications and services.
Match Group’s claim against Google mimics or mirrors that of Epic Games. The Fortnite developer has been embroiled in a long-running dispute against Apple and Google over in-app purchases but, like Match Group, has signed a temporary deal over Bandcamp. This allows Bandcamp to remain on the Play Store with funds placed in escrow until the antitrust case against Google is completed.
Google is planning a countersuit claiming the violation of developer obligations under the Developer Distribution Agreement requirement for all Play Store publishers and developers.
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Author: Damien Wilde
Source: 9TO5Google
