Google likes to tout the open nature of Android, but the company seems to be realizing, rather quickly, that they need to exert some control over the Android ecosystem if they truly want to provide a viable alternative to Apple's iOS ecosystem.
Google likes to tout the open nature of Android, but the company seems to be realizing, rather quickly, that they need to exert some control over the Android ecosystem if they truly want to provide a viable alternative to Apple’s iOS ecosystem.
With Google largely taking a “live and let live” approach with its Android Marketplace (which has recently been re-branded under the ‘Google Play’ umbrella) the company in recent months has started to demand that developers begin accepting payment for apps via Google’s own Google Wallet payment service.
According to Reuters, Google over the past few months reportedly started telling developers that they need start using Google Wallet or otherwise risk removal from the Android Marketplace entirely. Google’s ultimate goal here is to simplify the payment process for users, and of course to get a cut of the action.
As it stands now, Android applications accept payment via a variety of payment mechanisms (from PayPal to Zong), all implemented at the discretion of developers. While this, on the surface, provides users with more choice, it doesn’t do much to enhance the Android ecosystem. One app may accept PayPal and Google Wallet payments while another app may demand a completely different type of payment service.
Developers say the Internet search giant is trying to simplify consumer payments, hoping apps-buying will rise and offset their higher costs. Google’s payment service charges a higher cut per transaction than some rivals’. But the move also suggests Google is using its powerful position in the mobile apps market to promote an in-house offering.
“Although this move by Google might seem high-handed, it reduces the friction for purchases inside Android apps and therefore makes users more valuable,” said Hugo Troche, chief executive of Appsperse, a cross-promotion network for app discovery.
Google has never hesitated to brag about the total number of daily Android activations and the like, but as I pointed out in a previous post, most Android Marketplace downloads are for free free apps as opposed to paid apps. The end result is that developers looking to make serious money in the mobile space first turn to iOS before devoting resources towards Android. While Apple frequently touts the total amount of money it’s paid out to developers, it’s not at all surprising that Google keeps that information to itself.
“On Android it used to be laissez faire – you could use any payment provider you liked,” said Todd Hooper, chief executive of Zipline Games.
“It’s probably naive of developers to think they could keep choosing different payment providers,” he added. “If purchasing on Android is all over the place, that is worrying.”
One common thread I’ve seen discussed on a number of forums is that Google Wallet isn’t currently available as a payment option in certain countries. Not to fear, upon further investigation it appears that developers outside of the US are exempt from Google’s new mandate.
In any event, Google’s efforts to push Google Wallet onto developers is, in the end, a good thing for both developers and consumers. Being open and welcoming is great and all, but there’s a line where being too open begins to add layers of complexity, a dynamic which is ultimately detrimental to everyone involved.
Google’s first goal with Android was to get it onto as many handsets as possible. So far, it’s done an impressive job in that regard. But in doing so, fragmentation has become a real and sometimes problematic issue. Google’s acquisition of Motorola and its recent edict concerning Google Wallet all point to Google hoping to exert more and more control over Android handsets and the Android user experience.
via Reuters




