Google refuses review for latest version to prevent KakaoTalk update
Kakao distributes Android version KakaoTalk installation file (APK) directly
[Asia Economy Reporter Kang Nahum] The battle between Kakao and Google over the forced implementation of in-app payments is intensifying. Kakao maintained the outlink web payment method within the KakaoTalk application (app), prompting Google to reject the review of the latest version, preventing KakaoTalk from being updated.
On the 5th, a Kakao official stated, "We requested a review from Google for the KakaoTalk update, but as of the 30th of last month, the review of the latest version of the KakaoTalk app was rejected," adding, "We are currently providing a separate file for the update and discussing the reasons for the app review rejection with Google."
Although the specific reason was not mentioned, Google's rejection of the KakaoTalk app review is interpreted as a retaliatory measure against Kakao for defying Google's policy on forced in-app payments by maintaining an outlink for 'web payment' that allows some paid content to be purchased at a lower price.
Previously, Kakao raised the price of KakaoTalk Emoticon Plus from 4,900 KRW per month to 5,700 KRW per month but guided users that "on the web, it can be subscribed to at 3,900 KRW per month," providing an outlink in the KakaoTalk payment window that leads to web payment. Google’s terms specify that if an app provides external (third-party) payment methods or related links, the app review can be rejected, and the app can even be removed.
With updates becoming impossible, Kakao is temporarily distributing the installation file (APK) of the KakaoTalk Android version app directly. Searching for KakaoTalk on 'Daum,' a portal operated by Kakao, provides instructions on how to download the latest KakaoTalk for Android smartphone users.
Although Google imposed 'sanctions' on Kakao according to its terms, Kakao announced that it will respond to Google's app review rejection by maintaining third-party payment outlinks and directly providing the APK file. A Kakao official said, "There are no plans to remove the outlinks in the Kakao app currently on the Play Store," and "We plan to provide the APK file directly."
Some interpret Google's move as leaving room for negotiation with Kakao. If Google strictly enforced its policy, KakaoTalk, which maintains the web payment outlink, should be removed from Google Play, but the action was limited to blocking updates.
An industry insider said, "I understand that Kakao and Google are negotiating regarding the maintenance of web payments," adding, "If the negotiations between the two companies completely break down, KakaoTalk will likely disappear from Google Play."
If Kakao is removed from Google Play, it is expected to be the first victim case of forced in-app payments. In such a case, not only the Korea Communications Commission, which is currently conducting an on-site investigation, but also the political sphere is likely to intervene.
The Korea Communications Commission is currently conducting a reality check on the 'forced in-app payments.' The Korea Institute of Criminology and Justice Policy, a government-funded research institute, has expressed the opinion that Google's forced in-app payment policy "may violate the law," and within the opposition party, the Democratic Party of Korea, there are calls to secure the effectiveness of banning forced in-app payments through legislative supplementation, with opinions advocating for a significant increase in enforcement penalties and fines.
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