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| South Korea forces Apple and Google to open App Store payments |
South Korea's parliament has passed a bill making it the first country to impose restrictions on Apple and Google's payment policies, forcing developers to use only billing systems owned by industry giants.
Therefore, once President Moon Jae-in (whose party has always been a staunch supporter of the bill) signs the bill, the bill becomes law.
Apple and Google guidelines generally require developers to pay the tech giants a commission of up to 30% on each transaction.
The legislation means developers can avoid paying commissions to major app store operators (such as Apple and Google) by tricking users into paying through other platforms.
An Apple spokesperson said the bill puts users who purchase digital goods from other sources at risk of fraud. It violates your privacy. It is difficult to manage their purchases and features such as "ask before you buy". Parental control becomes less effective.
He added that the legislation could reduce user confidence in App Store purchases.
A Google spokesperson said the service fee helps keep Android free. Providing developers with global tools and platforms for billions of consumers around the world.
A Google spokesperson added, "We are studying how we can comply with this law while maintaining a model that supports high-quality operating systems and app stores."
South Korea forces Apple and Google to open App Store payments
This law is sometimes referred to as the "Anti-Google Act" and was introduced to Parliament in August of last year.
The law aims to prevent dominant app store operators from charging payment systems to app developers and inappropriately delaying or blocking app reviews.
Therefore, the law gives the Korean government the authority to resolve payment disputes, cancellations and refunds in the app market.
Epic Games, the company behind the popular game Fortnite, developed the in-game payment system last year. This is part of an attempt to circumvent current Apple and Google guidelines.
In the past few years, many other companies, including Spotify, have said that the tech giants should allow them to use their payment systems.
Regulators around the world are paying more attention to app stores and fees charged by Google and Apple developers.
In addition, South Korea's decision may be the first step toward a more stringent review.