Apple’s long-running battle with Korean antitrust regulators is showing no signs of ending any time soon.
In the latest development, the Korea Communications Commission (KCC) has found both Apple and Google guilty of anti-competitive behavior, required changes to their respective app store policies, and warned of possible fines …
Apple’s long battle with Korean antitrust regulators
Apple has been facing KCC investigations on a range of different matters for at least six years now, with one 2017 case relating to the controversial decision to throttle iPhone performance to prevent unwanted shutdowns with degraded batteries.
However, the iPhone maker’s monopoly on the sale of iOS apps has been the biggest antitrust concern surrounding the company. Apple tried to stave off regulatory pressure by reducing its commission from 30% to 15% for the vast majority of developers, but still lost a major US case banning developers from directing users to third-party payment platforms.
In South Korea, a law was passed that had the same effect of forcing both Google and Apple to allow app developers to use third-party payment platforms. The law came into effect back in September 2021.
Apple initially fought against compliance, but later said that it would allow alternative payment systems.
Regulator finds Apple and Google are breaking the law
However, Reuters reports that neither company’s efforts to comply with the law have satisfied the KCC.
South Korea’s telecommunications regulator said on Friday that Google and Apple have abused their dominant app market position, and warned of possible fines totalling up to $50.5 million […]
The KCC is notifying the companies for corrective action, and will deliberate on the fines, the statement said.
The agency is not satisfied with the alternative payment plans made by either company, nor with delays to the app review process.
Apple insists it has complied with the law.
We disagree with the conclusions made by the KCC in their Examiner’s Report, and believe the changes we have implemented to the App Store comply with the Telecommunications Business Act. As we have always done, we will continue to engage with the KCC to share our views.
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