A South Korean law makes Apple and Google’s commission system avoidable

The pending regulation would force companies to allow alternative payment systems for developers in their app stores as well.

The 30 percent commission case in the App Store and Play Store has been highlighted after last summer, Epic Games sued both Apple and Google for it.

The company, which in the meantime has joined other companies, such as Spotify, complains that developers are obliged to use the platforms’ own payment system, which automatically lowers the commission.

Apple and Google have since reduced the “tax” to 15% for lower-income developers, but this may be small in South Korea.

According to a report by The Wall Street Journal, only a law that would force giants to allow alternative payment systems is yet to be signed by President Mun Jain.

However, traditional operators usually deduct a commission of 1-3%, so it is an envelope that sellers will not be very diligent in sticking to the “official” channel.

Legislators have also thought that Apple and Google could penalize developers who evade commissions with various administrative retaliation, so the regulation states that store operators may not unduly delete apps or delay their acceptance.

Google and Apple spokespersons have already responded to the draft. The search giant pointed out that, like apps, there are costs to developing and maintaining Android and the Play Store, but they will work to comply with the law without compromising quality, and more information will be provided in the coming weeks.

In essence, Apple reaffirmed the argument made so far: alternative solutions are less secure and more cumbersome than the built-in payment system with automatic identification, which makes it impossible to perform related functions (parental control, remote control of minors’ purchases). ).

In South Korea, by the way, the iPhone has a market share of only around 22%, so the change will affect the Android camp in the largest number, including Samsung users, which dominate 67%.

In any case , Epic Games and its alliance, the Coalition for App Fairness, have already welcomed the draft, calling it an important development in their global fight for a fair digital economy.