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[Apha Biz=(Chicago) Reporter Paul Lee] The Korea Communications Commission has hinted at imposing a total of 68 billion won in fines on Google and Apple for violating the in-app payment enforcement law.
Based on the results of a fact-finding survey on unfair practices such as coercion of certain payment methods by app market operators such as Google and Apple, the Korea Communications Commission plans to notify both companies of corrective measures and impose a fine of 47.5 billion won on Google and 20.5 billion won on Apple, respectively.
Since the revision of the law in 2019, Google and Apple have allowed third-party payments through external payment providers, not their own payment modules, only within in-app payments. However, external payments (outlinks) were not allowed and the commission rate was set at 26%, effectively disabling the system. In response, the Korea Communications Commission began a fact-finding survey in August last year and reached this conclusion. In the case of Apple, the act of discriminating only against domestic app developers was also considered unfair discrimination and notified of corrective measures.
The Telecommunications Business Act can impose a fine of up to 3% of the sales unfairly obtained by the operator in case of violation of the ban. Accordingly, it is estimated that a total of 68 billion won was calculated.
In addition to social criticism of Google and Apple dinosaur operators, which virtually monopolize the app market and have unfair commission policies, it is expected that the sanctions will be focused on overseas.
The Korea Communications Commission will vote on the fine soon. Google and Apple are expected to engage in a legal battle involving a large law firm.
AlphaBIZ 폴 리(hoondork1977@alphabiz.co.kr)
