Googles economist says revenue share was just another type of discount – Breaking News & Latest Updates 2026
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Google’s economist says revenue share was just another type of discount.

“Revenue sharing is a way of cutting the price by offering more back to the other party,” says Gentzkow, suggesting that Google’s special deals (presumably with OEMs, since that’s where Google was sharing a cut of Play revenue), were just another way to compete.

If he was referring to OEMs, I don’t quite follow the logic: who was Google competing with there? Google’s not competing to put Android on those phones, since OEMs couldn’t decide to put iOS on a phone instead.

Is Google Play the product that it’s discounting beyond free to pay those developers to carry? And if so, doesn’t that cut against Google’s argument that those developers needed Google Play and other Google apps to compete with the iPhone?

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