Apple, Google’s In-App Purchase Commission Dominance Likely to Be Curbed by South Korea

 Apple, Google’s In-App Purchase Commission Dominance Likely to Be Curbed by South Korea

Apple, Google have faced global criticism because they require software developers using their app stores to use proprietary in-app payment systems.

Earlier this year, Google said it will lower the service fee it charges developers on its app store

HIGHLIGHTS

• Apple and Google have both faced global criticism
• The European Union last year proposed the Digital Markets Act
• Telecommunications Business Act has been dubbed the Anti-Google law

South Korea is likely to bar Alphabet's Google and Apple from charging software developers commissions on in-app purchases, the first such curbs by a major economy that could hurt the tech giants' lucrative revenue streams.

The parliament's legislation and judiciary committee is expected on Tuesday to approve the amendment of the Telecommunications Business Act, dubbed the "Anti-Google law," banning app store operators with dominant market positions from forcing certain payment systems.

If the bill gets the committee's approval, it will be put to a final vote on Wednesday. Lawmakers in South Korea started raising the issue of the tech giants' commission structure since the middle of last year.