South Korea, Apple will allow third-party app payment choices

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The Korea Communication Commission (KCC) announced on Tuesday that Apple has submitted compliance plans to allow developers to use third-party payment solutions in South Korea at a lower service price.

South Korea, Apple will allow third-party app payment choices

The KCC also stated that it would meet with Apple to work out additional details, such as service charge structures and the exact date when the payment option will be available.

The announcement comes after South Korean authorities asked global app store operators such as Google and Apple in October to submit comprehensive plans for the country’s new rule, which prohibits app store operators from forcing developers to use their payment methods.

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In October, Apple informed the KCC that it was already in compliance with the new South Korean law, whereas Google outlined its strategy in November to provide an alternative payment system on its app store in South Korea in order to comply with the new law, dubbed the “Anti Google law,” which went into effect in September.

Google said on its blog that it will decrease the developer’s service cost by 4%. Developers, for example, who pay 15% for transactions through Google Play’s billing system would pay 11% through its alternative billing system.

Meanwhile, in early November, Apple’s top executive in South Korea, Brandon Yoon, who was in charge of the app store system, abruptly left the iPhone maker. Yoon’s leave, according to media reports, is unrelated to the alternative app payment method.

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The South Korean parliament enacted the world’s first bill in late August 2021 to prevent global internet companies from compelling developers to use their in-app billing systems.

“We look forward to collaborating with the KCC and our developer community on a solution that serves our Korean users,” stated an Apple spokeswoman.

According to Apple’s announcement, the number of app developers in South Korea has climbed to almost 580,000, with more than 1.4 million apps available on the Korean App Store since 2008. According to the firm, Apple’s App Store has assisted Korean developers in reaching markets and customers in approximately 200 countries across the world.

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“Apple has a high regard for Korean regulations and a long history of working with the country’s talented app developers.” “Our work will always be guided by the goal of making the App Store a safe and trustworthy destination for our users to download the apps they love,” added the spokesperson.

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