Assemblyman Jo Seung-rae to Hold Policy Forum on the 27th
[Asia Economy Reporter Cha Min-young] Although the "Google Gapjil Prevention Act (Amendment to the Telecommunications Business Act)" aimed at countering Google's mandatory in-app payment policy has reached three months since its implementation, criticisms about the lack of effective enforcement continue, prompting the National Assembly to conduct a mid-term review.
According to industry sources on the 22nd, Democratic Party lawmaker Cho Seung-rae plans to hold a policy forum titled "Discussion on the Implementation of the In-App Payment Mandate Prohibition Act and Future Tasks" at the National Assembly Members' Office Building on the 27th. Since the law's enforcement in Korea on March 15, the forum will review Google and Apple's strategies to evade the regulations and discuss future institutional improvements, regulatory directions, and the development of the app ecosystem. It will also share regulatory situations concerning global big tech companies in the US and the European Union (EU).
Google began enforcing its mandatory in-app payment policy in April and has been deleting apps that do not comply since June. With the introduction of Google's mandatory in-app payment policy, which imposes commissions of up to 30%, the burden on domestic media and content apps has increased. According to lawmaker Yang Jeong-sook's office, when including users of music streaming and online video services (OTT), the additional cost burden on all content app users approaches 300 billion KRW.
The Ministry of Science and ICT, the competent authority, also launched an investigation into the illegality following Google's mandatory in-app payment enforcement, but delayed responses have led to continued harm to consumers and creators. Due to cautiousness toward Google, the "App Market Unfair Practices Damage Report Center" received only one case from the Korea Publishers Association during its first month of operation. Lawmaker Cho Seung-rae criticized the Ministry of Science and ICT, stating, "The Ministry must respond with utmost determination to Google's mandatory in-app payment enforcement," and added, "If necessary, they should collaborate internally with the Fair Trade Commission and externally coordinate with overseas regulatory agencies."
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