[Comprehensive] Minister Im Hye-sook Empowers Platforms: "They Should Not Be Seen Only as Regulation Targets"

[Image source=Yonhap News]

[Asia Economy Reporter Eunmo Koo] "Digital platforms should not be viewed solely as objects of regulation. We must not overlook the social contributions and roles that platforms have played. (Im Hye-sook, Minister of Science and ICT)"

"We will fulfill the roles that platforms must play well. (Han Seong-sook, CEO of Naver)"

Ahead of next month's National Assembly audit, which is expected to be a 'platform crackdown,' the government has shown support for digital platform companies such as Naver and Kakao. The message is that, apart from recent controversies surrounding platforms, the social contributions, technological innovations, and service innovations that platforms have undertaken at the forefront of overcoming COVID-19 should also be considered. Leaders of platform companies like Naver and Kakao also expressed their intention to move toward a healthy platform economy through coexistence with small business owners and others.

On the morning of the 29th, Minister Im Hye-sook of the Ministry of Science and ICT held a meeting with digital platform companies at the Grand Central in Jung-gu, Seoul, stating, "While minimizing side effects, we must not overlook the social contributions platforms have made so far, such as mask apps, leftover vaccine reservations, QR check-ins, as well as technological innovations like the development of super-large AI, service innovations that enhance public convenience, and the hope platforms provide for youth entrepreneurship, reflecting their economic and social roles and values."

She added, "A cautious approach is necessary when creating new regulations to avoid extinguishing the spark of innovation," emphasizing, "Through the digital platform company meeting and policy forum, I hope we can closely examine and analyze the state of our country's platform industry and lay the foundation for moving toward a healthy platform economy."

Minister Im's remarks drew attention as they came amid the announcement that key platform executives, including Kim Beom-su, Chairman of Kakao's Board, have been summoned as witnesses for next month's audit, effectively signaling a 'platform audit.' Her comments addressed concerns over the ongoing politically charged regulatory attacks focusing on side effects without recognizing the social contributions platforms have led.

After the meeting, Minister Im also conveyed industry concerns about the intensifying platform crackdown ahead of the audit during a meeting with reporters. She said, "There were requests from platform companies to open a discussion forum to address conflicts among stakeholders and to create solutions together," adding, "(At today's meeting) domestic platform companies expressed significant concern about the negative social perception domestically while they must compete with global companies. There was consensus on the need to shift social perception regarding platform contributions and innovations."

She also announced the Ministry of Science and ICT's plan to establish a forum to mediate conflicts, emphasizing, "We discussed changing the regulation-focused atmosphere and also talked about the positive effects of platforms in helping activate youth entrepreneurship."

The heads of platform companies were generally reserved. CEO Han Seong-sook told reporters, "We discussed the roles platforms should play," adding, "We need to develop alongside small and medium-sized enterprises (SMEs) to strengthen our business. We will fulfill the roles platforms must play well." Kakao CEO Yeo Min-soo also expressed a general stance, saying, "We will prepare well to establish and implement concrete coexistence measures."

The corporate meeting and the first plenary session of the Digital Platform Policy Forum held consecutively that day were prepared to re-examine the economic and social value of platforms and to gather diverse opinions directly from industry representatives to devise ways for the platform ecosystem to develop healthily. Representatives from leading domestic platform companies such as Naver, Kakao, Woowa Brothers (Baedal Minjok), and Yanolja, as well as startup representatives from Law&Company (LawTalk) and Healing Paper (Gangnam Unni), also participated.

At this meeting, Minister Im and platform company representatives discussed the recent social contributions of platforms, such as leftover vaccine reservations. They also discussed regulatory directions to minimize platform side effects and explored ways to secure the competitiveness of domestic platform companies in the global competitive environment.

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