24.08.2021, 14:41
South Korea will Limit the Monopoly of Apple and Google on the Commission from Purchases in Mobile Applications
Source: OREANDA-NEWS
OREANDA-NEWS This week, members of the Parliamentary Committee on Legislation and the Judiciary are expected to approve an amendment to the Telecommunications Business Act, which has been tacitly dubbed "Law against Google." The amendment prohibits operators of app stores that occupy a dominant position in the market from forcing the use of certain payment systems. That is, developers will not need to use the payment instruments offered by the companies, they will be able to choose their own, more profitable ones. If the amendment is approved by the members of the committee, then it can be finally approved as early as this week.
South Korean authorities began considering issues related to the structure of commission fees of technology giants in the middle of last year. Apple and Google have faced criticism, which is due to the fact that companies require developers to use only their own payment tools in their applications, charging a fee of 30% for transactions.
According to reports, the digital content store Google Play Store earned in South Korea in 2019 about $ 5.29 billion For Apple, the commission on in-app purchases from the App Store is also one of the key sources of income in the direction of the service business. This year, Google announced a reduction in the commission for developers to 15% for the first million annual revenue. Earlier, Apple made similar concessions.
South Korean authorities began considering issues related to the structure of commission fees of technology giants in the middle of last year. Apple and Google have faced criticism, which is due to the fact that companies require developers to use only their own payment tools in their applications, charging a fee of 30% for transactions.
According to reports, the digital content store Google Play Store earned in South Korea in 2019 about $ 5.29 billion For Apple, the commission on in-app purchases from the App Store is also one of the key sources of income in the direction of the service business. This year, Google announced a reduction in the commission for developers to 15% for the first million annual revenue. Earlier, Apple made similar concessions.
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