Google directed to charge lower fee on in-app payments for Disney in India

Google directed to charge lower fee on in-app payments for Disney in India

Google has responded to a directive from an Indian court that ordered the company to charge a lower fee on in-app payments for Disney’s streaming service in India. The court’s decision is a significant challenge to Google’s payments business model. Previously, Google imposed a service fee of 11-26% on in-app payments, but this was reduced to 4% following an antitrust ruling. Disney has taken the issue to court in Tamil Nadu, arguing that Google threatened to remove the Hotstar app if it didn’t comply with the new payments system. Google stated that the order is temporary and the 4% fee will be in effect until the legal proceedings are concluded. Google is required to comply with the court’s directives until they are overturned or modified.

TIS Staff

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