Why Netflix Investors Shouldn't Worry About Google's New App Rules

The headlines sound alarming enough. Alphabet (NASDAQ: GOOGL) (NASDAQ: GOOG) is shoring up something of a loophole that had let app developers like Netflix (NASDAQ: NFLX) sidestep payments technically due to the Google Play app store. Given Netflix's customer base of 193 million as of the end of the second quarter, an app store's typical 30% cut of the initial revenue it helps create isn't chump change. Even dialed back to a 15% take for renewed subscriptions, the commission payments in question are no small matter.

Netflix shareholders need not worry, though. The fact of the matter is, mobile apps aren't how most people buy or watch the world's most popular streaming service.

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Source Fool.com