“Hinge’s growth trajectory is on track as we expected”, SharDubeysaid the managing director of Match Group.
“We have seen a recent increase in organic traction in India without any localization. So, we want to respond to these kinds of positive signals and are accelerating our launch in India as we always thought this was a pretty cool and attractive market for a high intent app, ”Dubey told analysts during post-results. results call Wednesday.
He added that much of the international contribution, at least from a revenue standpoint, will likely come this year.
The app is on track to launch in its first non-English-speaking market, Germany, in the second quarter.
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the dating app the company reported revenue of $ 799 million in the March quarter, up from $ 668 million a year ago, but missed analysts’ estimates.
Dubey will step down as chief starting May 31. Bernard Kimchairman of social video game services company Zynga, will take over as CEO, the company said.
Kim was instrumental in “expanding the company into new markets like blockchain and hyper-casual gaming,” and helped Zynga expand into new platforms, including Snapchat and Nintendo’s Switch console, the company said.
Match also said its growth outlook for the second quarter assumes it will implement the Google payment system policy change that goes into effect June 1.
The impact of this change would be approximately $ 6 million per month and thus, for the seven months starting June 1, the total would be approximately $ 42 million in addition to the approximately $ 100 million that Match Group is already expected to have. pay to Google.
“We are currently evaluating our legal and other options to avoid the significant disruptive effect their policy change will have on our consumers,” said Gary Swidler, Chief Operating and Chief Financial Officer, during the earnings call.
In March, Google-owned mobile operating system Android said it was experimenting with a program in which it would partner with developers to explore different implementations of user-choice billing, starting with Spotify.
He said the move to initiate user-choice billing in certain countries was to build on its recent launch to allow for an additional billing system alongside Play Store billing for users in South Korea, which has recently prohibited “the act of forcing a specific payment method to a mobile content provider”.
“They chose to grant an exception to their policy to only one company, Spotify, because it served their purposes with European regulators and allowed them to take a share of Spotify’s subscription fees, which they previously didn’t. they had been able to. But in our case, they were adamant in removing our ability to provide user choice, ”Swidler added.
He also hinted at taking the legal route, hinting that Epic Games filed a lawsuit against Google last week.
“We see this as a last resort, and not something we take lightly in doing. But at the same time, time is running out towards the June 1 deadline and we must do our best to protect our consumers’ choices, as well as our business, ”Swidler said.
However, he hoped global regulators would force Google’s hand and require them to change their policy.
He said the Digital Markets Act (DMA) in Europe, which affects the entire European Union, will outlaw mandatory IAPs (in-app purchases).