'Google Gapjil Prevention Act' Passed in National Assembly Plenary Session... World's First App Market Regulation (Update)

[Asia Economy Reporter Kang Nahum] The so-called "Google Gapjil Prevention Act (Amendment to the Telecommunications Business Act)," which blocks Google's forced in-app payment system, has passed the National Assembly plenary session. As a result, South Korea has become the first country to regulate app markets by law.

On the 31st, the National Assembly held a plenary session and passed the amendment to the Telecommunications Business Act, which prevents Google's unilateral changes to its commission policy. Of the 188 members present, 180 voted in favor and 8 abstained.

The amendment prohibits ▲app market operators from abusing their transactional position to force mobile content providers to use specific payment methods ▲app market operators from unjustly delaying the review of mobile content, among other acts. It also includes provisions regulating the deletion of mobile content without valid reasons.

With the passage of this amendment, Google's policy to enforce in-app payments starting this October has effectively been nullified. Last year, Google had planned to expand in-app payments, which were previously applied only to game apps, to all apps and content starting in October.

This decision meant imposing a 30% commission fee on payments for all content, including games, music, and webtoons, raising concerns in the industry that it would lead to price increases for content and increased burdens on mobile content consumers.

On the 16th of last month, Google announced on the official Android developer blog that, after carefully considering the responses of both large and small developers, it would grant a six-month extension opportunity. However, it ultimately failed to persuade the industry and political circles.

This content was produced with the assistance of AI translation services.