Bandcamp’s payment system for Android to remain in place following court agreement

Bandcamp's new owner Epic Games and Google have come to an agreement over Google's impending changes to in-app purchases for Android users.

Bandcamp CEO Ethan Diamond announced in a statement that Bandcamp will continue to process in-app Android payments using its existing system while Epic and Google's court battle is underway. The final ruling is expected some time in 2023.

Instead of switching to the new Google Play Billing policy, which requires all apps in the Google Play store to use Google's own payment system — and pay 30% of all in-app sales to Google — and not external payment platforms like PayPal as Bandcamp had been doing, Bandcamp will be putting its usual 10% revenue share in an escrow holding account until the case is concluded. The Google Play Billing change was planned to come into effect on 1st June, which is when Epic's escrow holding pattern will start. 

"Fans can keep supporting artists on Android as they have, and we’ll continue paying artists the same share of sales," Diamond wrote. "Moving forward, we’ll continue the fight to allow artist-first business models like ours on Android."

Another effect of Google Play Billing change "would impact [Bandcamp's] ability to pay artists quickly," Diamond says. "Instead of receiving payment after 24 to 48 hours, artists may not be paid until 15 to 45 days after a sale."

Should the court rule in favor of Google, it is possible that Epic Games and Bandcamp will have to pay for the difference of the 10% share escrow account to Google, according to the court stipulation document. The document also makes it clear that this agreement only applies to the Bandcamp app in the Google Play app store. 

Read Diamond's full statement here and find the court filing here.