South Korea's communications regulator has determined that Apple and Google violated the Telecommunications Business Act, imposing significant penalties and requiring changes to app store business practices. Google was fined KRW 42.9 billion ($32 million), while Apple received a KRW 20.81 billion ($15.6 million) penalty. The Korea Media and Communications Commission (KMCC) conducted investigations since 2022, finding that both companies forced users to use in-app payment methods, imposed 26 percent commissions for third-party payments, and prohibited external payments.
The regulator also cited delayed app reviews without clear reasons and inconsistent commission calculations based on developer location. As a result, the KMCC is requiring the tech giants to accept external payments and revise app review procedures. Apple must also prevent discrimination between domestic and overseas developers.
Notably, both companies already permit external payments in the US and European Union, highlighting the specific nature of the Korean regulatory action.
Source: Engadget · Summarized by HeadlinesBriefing