App Store and Play Store Payment Rules Are Changing: What Applies in India

If your app sells something digital, such as a course, a subscription, premium content or game credits, Apple and Google normally take a cut of every sale and expect you to use their payment systems. Court rulings and competition regulators are loosening that, and the headlines make it sound as if the rules changed everywhere. They did not. This post separates what applies in India from what applies only in the US or the EU, as of 3 November 2026. It is general information, not legal advice.

First, who is affected at all

The store rules only bite when you sell digital goods or services consumed inside the app. If your app sells physical products, groceries, bookings for a real-world service or a salon appointment, you already use your own payment gateway such as Razorpay, and nothing here changes your fees. Our guide to payment gateways for Indian websites covers that world. The rest of this post is for owners of learning apps, subscription apps, membership apps and similar.

United States only: Apple and the Supreme Court

In the Epic Games case, courts found that Apple broke an earlier order by charging a commission on purchases made through external payment links. In December 2025 the Ninth Circuit upheld that finding but said a ban on any commission went too far, allowing a fee based on costs genuinely and reasonably necessary, with the rate sent back to the lower court. According to The Next Web, the Supreme Court agreed on 30 June 2026 to hear Apple's appeal. The case will be argued in the term that begins in October, with a ruling expected by June 2027.

So the US position is unsettled. The same report says Apple has not collected a commission on external-link payments for nearly a year. This does not apply to apps in the Indian App Store storefront, and we found no announcement from Apple extending US-style link-out rights to India.

United States, EU and some other countries: Google Play

Google's help pages show a different path. In the US, from 29 October 2025, developers can tell users about other ways to pay and link to web purchases, and Google's external-links and alternative-billing programmes launched on 9 December 2025. Enrolled developers must report transactions and pay service fees from 1 October 2026.

A separate user choice billing programme covers the European Economic Area, the UK, the US, Australia, Brazil, Indonesia, Japan and South Africa. Google's page lists rates that, from 30 June 2026 in the EEA, UK and US, are 10 percent on subscriptions and on the first US$1 million of yearly earnings, and otherwise 20 percent on new installs and 25 percent on existing installs for standard developers. These are Google's published figures at the time of writing and they change, so check the page before you budget. India is not on this list because it has its own arrangement.

India: what is actually allowed

This part is direct. Google's Play Console help says all developers can offer an alternative billing system alongside Google Play's own, for mobile and tablet users in India, in response to regulatory developments there. Google Play billing must still be offered, prices may differ between the two systems, and the standard service fee is reduced by 4% on purchases made through the alternative, in Google's wording. You enrol in Play Console, certify PCI DSS compliance, integrate Google's alternative billing APIs and report each transaction within 24 hours.

The background is a Competition Commission of India case. In 2022 the CCI fined Google ₹936.44 crore over its billing practices. The appellate tribunal, NCLAT, upheld the finding of abuse but cut the penalty to ₹216.69 crore. Google, the CCI and an industry body have all appealed to the Supreme Court. We did not find a reported final judgment as of 3 November 2026, so the position could still change.

On Apple's side, the CCI's investigators concluded in July 2024 that Apple abused its position through its payment rules, which Apple denies. The Delhi High Court has refused to stop the investigation but barred a final CCI order while Apple's challenge to the penalty rules is pending. We found no report of a final order. Until one arrives, assume Apple's normal in-app purchase rules apply to your Indian iPhone customers.

What an app owner should do now

1. List what you sell in the app and mark each item as digital or physical.
2. Check your current fee: with only Google Play billing, you pay the standard fee on Android and Apple's on iPhone.
3. For Android users in India, ask your developer to price an alternative billing integration, including reporting, refunds and support, not just the payment form.
4. Keep prices consistent unless you have a reason to differ, so customers are not confused or annoyed.
5. Do not add links to outside payment pages in an iPhone app for India unless Apple's current guidelines clearly allow it, because rejection or removal costs more than the saving.
6. Review the position every quarter and again after the Supreme Court ruling.

Is the saving worth the extra work?

A 4% fee reduction on Android sales is real money at scale, but alternative billing adds engineering, compliance and support effort, and you remain responsible for card security and disputes. For a small app with modest sales, Google Play billing is often the sensible choice. For an app with large recurring revenue, the maths can favour the change.

VS Tech Builders integrates Razorpay, Cashfree and Stripe for clients, and we can advise on store billing as part of Play Store publishing. Our overview of Google Play policy changes and the Play Store launch guide give wider context, and you can contact us to discuss your model. For legal questions, consult a lawyer familiar with app-store and competition law.

Sources

Checked on 3 November 2026. Technology changes quickly; always confirm details with the official source before you act on them.

• Supreme Court will hear Apple's appeal over the App Store contempt finding in Epic case — The Next Web
• An update regarding Google Play's policies for developers serving users in the US — Google Play Console Help
• Enrolling in the user choice billing pilot — Google Play Console Help
• Changes to Google Play's billing requirements for developers serving users in India — Google Play Console Help
• What is the antitrust case against Apple? Why has Delhi HC allowed CCI probe but paused final order — ThePrint

Frequently asked questions

Can I use Razorpay inside my Android app in India for digital goods?

Google allows an alternative billing system alongside Google Play billing for users in India, if you enrol in Play Console, meet PCI DSS requirements, integrate Google's APIs and report transactions within 24 hours. Google says the standard fee is reduced by 4% on those sales. Check the current Google Play policy and your gateway's compatibility before building.

Can I link to my website for payment from my iPhone app in India?

We found no Apple announcement giving Indian apps the external-link rights now debated in the US. The Indian competition case against Apple has no final order yet. Until Apple's guidelines clearly say otherwise, linking out from an Indian iPhone app risks rejection, so check the current App Review Guidelines first.

Do these changes affect apps that sell physical goods or services?

No. Store payment rules apply to digital goods and services used inside the app, such as subscriptions, courses and premium content. Apps selling physical products, deliveries or real-world appointments already use their own payment gateways and are not charged the store commission.

Will the Supreme Court ruling in the US change the rules in India?

Not directly. The Epic case concerns US law and US storefronts. It may influence how regulators and companies behave elsewhere, but India has its own competition cases against Google and Apple. Treat any Indian change as separate and wait for an official announcement or court order.