Tinder is now completely circumventing Google Play Store charges by making its Android users sign up for premium memberships directly.
The move was made to avoid paying 30% of its subscription revenue to Google for payment processing.
Match Group is following in the footsteps of other major tech companies, such as Netflix and Spotify, who have introduced similar capabilities. That said, it does stand out as one of the first to take payments within the app rather than directing users to a mobile web page.
The new payment system is now the only way for singles to access premium features; there is no option to switch back to Google payments.
Despite having 4.73 million paying subscribers, Tinder is still relatively small compared to some of the other brands rebelling. In isolation, the company’s changes are unlikely have a notable impact on Google’s net worth.
In the days following the announcement, Match Group’s stock price grew by approximately 8%.
A Match spokesperson told Bloomberg in a statement: “At Match Group, we constantly test new updates and features to offer convenience, control and choice to our users.
“We will always try to provide options that benefit their experience and offering payment options is one example of this.”
The online dating umbrella is expected to explain more about the update during its Q2 conference call, which will follow the financial results on 6th August.
Some companies are also opposing Apple, which takes an identical 30% tax from the developers of iOS apps. It was forced to defend this policy in front of the US Supreme Court in November 2018 after plaintiffs claimed it was violating antitrust laws.
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