Published 08:36 IST, August 31st 2021
Google Play revenue revealed for the first time in 13 years, earned $11.2 billion in 2019
The antitrust charges filed against Google by several districts and states in the US claim that Google Play has a monopoly over application distribution.
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revenue and earnings of Google Play Store have been disclosed for first time in 13 years. According to declassified documents, Alphabet-owned company generated $11.2 billion as total revenue, which roughly translates to Rs. 82,000 crore, from Google Play Store in year 2019. amount includes price of application, additional in-app purchases and revenue generation through advertisements on Play Store. figures have been unveiled as a part of antitrust lawsuit filed by several states in US.
Google antitrust case reveals Play Store revenue of $11.2 billion
antitrust charges filed against Google by several districts and states in US claim that company exercises a mopoly over application distribution. Google makes third-party app developers use its own payment methods for selling applications, thus charging a commission of up to 30%. As mentioned earlier, total Google Play revenue stands to be $11.2 billion, out of which Google Play gross profit is reported to be $8.5 billion. net profit of Google Play in 2019 was $7 billion. When net profit margin of Google Play revenue was calculated for 2019, it exceeded 62%. This is first time since Google Play Store came into existence that its revenue is publically available. Google Play Store was launched in October 2008.
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Google has been charged for creating a mopoly over app distribution
information was revealed to public during ongoing litigation filed by attorney generals from 37 states and districts in US. Google is alleged of cutting down app developers profits and taking a huge commission on sales amount on Play Store. It also includes sales through paid applications and sales made through in-app purchases. Google calls lawsuit meritless and says that data mischaracterizes its business. Prosecutors are trying to establish that Google Play Store earns a huge amount of money by charging a commission on sales of applications made by developers. filing submitted to court also alleges Google for practising illicit measures to maintain its mopoly.
In ar lawsuit filed by Epic Games, creators of Fortnite, it was kwn that Google had a Premier Device Program in which company offered a share of Google Play Earnings (including monthly bonuses) to or companies like LG and Motorola. In exchange, se companies were asked by Google to t allow applications with APK install privileges on devices without approval of Google.
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08:35 IST, August 31st 2021