South Korea may bar Google and Apple from forcing app developers to use their payment systems
Why it matters: Today, a parliamentary commission in South korea passed a nib that would forbid Google and Apple from forcing their payment systems onto app developers and taking commissions on in-app purchases. The pecker nevertheless has to go up for a concluding vote, but if it goes through, South Korea will get the first country in the world to impose such a restriction on Google and Apple. The legislation comes subsequently the US Senate proposed a similar neb.
The proposed law is a revision of the Telecommunications Business Human action, making app shop operators unable to forcefulness developers to employ specific payment systems, such as those controlled past the app store operators.
All developers on Apple's iOS app shop have to run in-app payments through Apple's payment system, from which it ordinarily takes a thirty per centum cutting. The electric current legal showdown between Epic Games and Apple started when Apple banned Fortnite from iOS for letting players pay for in-app purchases without going through Apple. In March, Epic presented evidence in that case of the extent to which Apple will go to make sure certain big companies like Netflix keep giving it a cut of payments made on iOS.
Last year, Google similarly announced it would start more than tightly enforcing requirements to use its billing system when distributing apps on Android'south Google Play Store, charging a 30 percent commission fee. According to The Korea Times, this new neb was initially submitted to the Southward Korean parliament as a direct response last year and is known as the "Anti-Google Law."
The final vote was supposed to proceed today, just TechCrunch reports regulators delayed it until Baronial 30th.
"The proposed Telecommunications Business Act will put users who buy digital goods from other sources at risk of fraud, undermine their privacy protections, make it hard to manage their purchases, and features like 'Enquire to Purchase' and Parental Controls volition become less effective," Apple said in a argument. "We believe user trust in App Store purchases will subtract equally a result of this proposal—leading to fewer opportunities for the over 482,000 registered developers in Korea who have earned more eight.55 trillion won to date with Apple."
Apple is probable referring to cases in which people, often children, have mistakenly spent large amounts of coin on in-app purchases. Apple'due south statement suggests that if developers tin can use payment systems that sidestep its gates and parental controls, cases like this could get worse.
Earlier this calendar month, the US Senate introduced the Open App Markets Act, which seeks to bar app shop operators from forcing their billing systems onto developers and lets users sideload apps into devices.
Source: https://www.techspot.com/news/90950-south-korea-may-bar-google-apple-forcing-app.html
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