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South Korea seeks KRW 68 billion fine for Apple’s and Google’s “unfair practices” towards app developers

South Korea seeks KRW 68 billion fine for Apple’s and Google’s “unfair practices” towards app developers

Apple iPhone 15 and 15 Plus. Image by HWZ Editorial team.

The Korea Communications Commission (KCC) has issued a notice to Apple and Google, with a possible KRW 68 billion (~S$68.9 million) fine for their “unfair practices” towards app developers.

On 7 October 2023, KCC pushed out a corrective order claiming that Apple and Google violated the Telecommunications Business Act by “abusing” their positions in the app market by forcing app developers into “specific payment methods” and unfairly delaying app reviews, presumably for apps to be listed in their respective app stores.

South Korea said this goes against the KCC’s fair competition stance for apps. In their notice, the KCC also singled Apple out for “discriminatory charging of fees only to domestic app developers”.

Reuters said that Apple disagrees with KCC’s findings as the App Store complies with South Korea’s Telecommunications Business Act, which was enacted in late 2021.

Nonetheless, Apple and Google are looking at KRW 47.5 billion (~S$48.2 million) and KRW 20.5 billion (~S$20.8 million) fines, respectively, should there be no corrective action or resolution to this issue.

Source: Reuters, Korea Communications Commission (newsroom), TheElec

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