Google will charge hardware makers nearly $40 per device to use its apps under a new licensing system to replace one that the European Commission this year deemed anti-competitive. On 29th October Google will start charging $40 for any new smartphone or tablet models released in EEA (European Economic Area) and operating on Google’s Android System.
The majority of the phone makers will be paying around $20 per device but it depends on the country. It can decrease and increase according to the country. This fee can be as low as $2.50 and as high as $40 depending upon the country.
Phone makers can equal the fee, which applies to a suite of apps including the Google Play Store, Gmail and Google Maps. Google would give the device maker a portion of ad revenue it gains through Google Search and Chrome.
Google was found guilty by European Commission that it has marketed itself illegally in mobile software to use Google search and Google Chrome in their phones as compulsory. Google was fined $5 billion, which Google has filed an appeal for, and was threatened by European Commision that if Google didn’t end any such practices they would face serious consequences.
This would give Google’s rival such as Microsoft to make deals with phone makers to make its apps as default for searching and browsing.