South Korean parliament . The measure would become a law signed by President Moon Jae-in, whose party has long been a leading opposition party. Apple and Google rules often force developers to pay tech awards of up to 30% on each transaction. The measure, which was introduced on Tuesday, allows developers to avoid paying payments to major app store operators such as Google and Apple by sending customers to other payment channels.
An Apple spokesman said the bill would “put users who buy digital goods from other sources at risk of fraud, compromising their privacy, making it difficult to manage their purchases and features like ‘ Ask to Buy ‘and Parental Controls will become more effective. ”They added that user confidence in App Store purchases would be reduced as a result of the law. A Google spokesman said its service fee “helps keep Android free, giving developers and platforms worldwide access to billions of customers around the world.” “We will consider how to comply with this rule while maintaining a model that supports high-performance operating system and app store, and we will share more in the coming weeks,” a Google spokesman added. .
The law, sometimes referred to as the Anti-Google Act, was submitted to parliament last August, according to Yonhap News. ” The law also gives the South Korean government the power to settle disputes over payments, cancellations and refunds in the app market, according to reports. Some 180 of the lawmakers present are in favor of a proposed amendment to the Communications Regulation Act, Reuters reported.
Media reports last week said that the law and the judicial committee of the National Assembly approved reviews of a bill that intended to deter app store operators from forcing advertisers to use specific payment systems. Epic Games, the venue behind the famous Fortnite game, built its own in-game payment system last year as part of an effort to get around Apple and Google’s current policies. Many other companies including Spotify and Tinder-owner Match have said in recent years that technology giants should be allowed to use their payment systems. Today’s history and bold leadership by South Korean lawmakers mark a major step in the fight for a fair ecosystem, ”a Match spokesman said in a statement on Tuesday.
“We expect the bill to be signed into law as soon as possible so that legislators around the world can do the same to protect citizens and their businesses from the monopolistic gateways that restrict the internet. ”They added. International regulators are focusing more on app stores and the charges that Google and Apple are charging developers – and the ruling in South Korea will likely be the first step to a major overhaul, according to Daniel Ives, executive director. of equity research at Wedbush Securities.
“It’s a rainy season,” Ives said on CNBC ” Asian street signs’ Monday before the decision in Seoul. “It is not necessary for what this means by itself, but for the ripple effect as it shows that they are not only words, but actual actions.”