[Asia Economy Reporter Seulgina Jo] As the controversy over the so-called '30% app toll' enforced by app market giants such as Apple and Google intensifies in various places, Japan's antitrust authorities have also drawn their swords. South Korea has also judged that it may fall under prohibited acts by law, and relevant ministries are jointly responding.
Kazuyuki Sugimoto, Chairman of the Japan Fair Trade Commission, stated in an interview with Nihon Keizai Shimbun released on the 3rd that regarding Apple's mandatory in-app payments for app developers, "We need to review specific actions." This implies that they intend to respond through an investigation at the Fair Trade Commission level.
'In-app payment' refers to a system where all payments related to apps are made within specific app markets such as the Apple App Store and Google Play Store. In this process, Apple and Google take 30% of the payment amount as a commission. This is why criticism calling it an 'app toll' continues, especially from developers.
In particular, the controversy intensified as Google, which had only taken a 30% commission from games until now, is pushing to charge commissions on all in-app payments like Apple. Last month, Epic Games, the game company that created the popular game Fortnite, protested that Apple's commission policy was excessive and set up its own in-app payment system, leading Apple and Google to remove Fortnite from their app markets. Currently, Epic Games has sued Apple and Google in a U.S. court for alleged violations of antitrust laws.
Chairman Sugimoto said, "We are considering how to proceed while watching the lawsuit in the U.S.," and added, "We have heard opinions that a 30% commission is excessive for developers." However, he added, "It is difficult to judge it as an anti-competitive act solely because the commission is high." He plans to make a comprehensive judgment based on points such as Apple's mandatory use of its own sales and payment services.
South Korea is also examining the app commission controversy. The Korea Fair Trade Commission and the Korea Communications Commission have begun reviewing whether it falls under prohibited acts under the Monopoly Regulation and Fair Trade Act and the Telecommunications Business Act, respectively. On the previous day, Korea Communications Commission Chairman Sang-hyuk Han, when questioned about in-app payments at the National Assembly's Science, ICT, Broadcasting and Communications Committee, said, "Based on the content reviewed so far, there is sufficient possibility that it falls under prohibited acts under the Telecommunications Business Act."
Sugimoto, who has emphasized competition policy in the digital field such as regulating IT giants since his inauguration in 2013, ahead of his retirement this month, said, "There are still many areas, including digital, where the values of fairness and freedom must be realized," urging that policy continuity should be maintained in the newly launched Fair Trade Commission.
As future challenges in the digital field, he pointed out enabling various companies to share and utilize data accumulated in major industries such as finance, healthcare, and mobility. He said, "Treating industrial data and anonymized personal information as public goods will be an important strategy." Additionally, he reaffirmed the position that regarding regulation of IT giants, responses centered on 'abuse of superior bargaining position' under Japan's Antimonopoly Act will be effective.
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