Alphabet unit Google said on Tuesday it will make it easier for app developers to direct customers to channels other than Google, after the European Union’s competition watchdog charged it with breaching EU regulations.
In March, Google faced two charges under the EU’s landmark Digital Markets ZAct (DMA), which seeks to curb the power of Big Tech.
The European Commission has been investigating since early 2024 whether Google restricts developers from informing users about offers outside its Play Store and whether it gives preference to its own services such as Google Flights.
Regulators said Alphabet effectively prevents developers from steering consumers to alternative channels for better deals and that the service fee it charges for new customer acquisition through Google Play exceeds what is justified.
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In a blog post, Google said it is updating its terms after discussions with the European Commission, developers, and other stakeholders.
“While we still have concerns that these changes could expose Android users to harmful content and worsen the app experience, we’re updating our External Offers Program for the EU with revised fees and more options for Android developers, following DMA discussions with the European Commission,” said Clare Kelly, Google’s EMEA Senior Competition Counsel.
Google, which has already been fined more than €8 billion ($9.3 billion) in previous EU antitrust cases, could face penalties of up to 10% of its global annual revenue if found guilty of breaching the DMA.
