TECH - Not Just Spotify Netflix Also Negotiated With Google For A 'Sweetheart' Deal: Court Documents Reveal | Benzinga
In 2017, Alphabet Inc.’s (NASDAQ:GOOG) (NASDAQ:GOOGL) Google offered a special deal to Netflix Inc. (NASDAQ:NFLX) that entailed a discounted rate of 10% for in-app payments on Android. This proposal was brought to light in the recent Epic v. Google trial.
What Happened: Court documents show that Google proposed the discounted rate to Netflix as part of the “LRAP++.”
The deal would have made Netflix a “platform development partner,” reducing the revenue share to 10%, provided the streaming giant committed globally to Google Play Billing or GPB, reported The Verge.
This meant that Netflix could keep 90% of the money.
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Today, subscribing to Netflix from within the Netflix app on Android is not possible, but earlier the streaming behemoth used to pay Google 15% for this function.
Later, when Netflix had the ability to provide its own payment method, the payment to Google was closer to 3%. Eventually, Google discontinued this option.
However, prior to removing alternative payment methods, Google attempted to entice Netflix with a special 10% deal ...