[Column] What Crime Did Kakao's Kim Beom-su Commit?

Kim Beom-su, Chairman of Kakao, attended the National Assembly inspection of the Fair Trade Commission and others held by the National Assembly's Political Affairs Committee on the 5th.

"I am sorry." "I apologize." "I offer my apologies."

On the 5th, Kim Beom-su, Chairman of the Kakao Board of Directors, bowed his head like a culprit every time lawmakers questioned him during the National Assembly's Political Affairs Committee audit. That afternoon's Political Affairs Committee audit was filled more with criticism directed at Chairman Kim than questions for Cho Sung-wook, Chairman of the Fair Trade Commission, the head of the relevant ministry.

This year's audit, dubbed the "Platform Audit," targeted the heads of IT companies. Kakao's sprawling business expansion, including service price hikes and infringement on local small businesses, became the main focus. At the Political Affairs Committee, lawmakers added their remarks about Kakao's business, and the questioning of Chairman Kim lasted nearly three hours. It resembled a hearing focused on Chairman Kim.

However, aside from issues related to K Cube Holdings and Kakao Mobility's franchise taxi problems, which are under investigation by the Fair Trade Commission, many remarks during the Political Affairs Committee audit seemed questionable as to whether they were appropriate questions. Song Jae-ho, a member of the Democratic Party representing Jeju, mentioned Kakao Friends' Jeju-related products and demanded, "It's fine to sell at the headquarters level, but set the corporate office in Jeju and pay corporate income tax there." Kim Byung-wook, also from the Democratic Party, pointed out, "Compared to Naver, global expansion is weak."

Even while explaining the platform's ecosystem and business, Chairman Kim had to repeatedly say "I'm sorry" and "I apologize" to avoid upsetting the lawmakers. The fact that Kakao, as a business, expanded to generate profits or failed to succeed globally became reasons for him to bow his head to the lawmakers.

Of course, if Kakao infringed on small business owners' local markets or there were faults in the operation of K Cube Holdings, it is only right that they pay the price. If there were unfair practices in the near-monopoly taxi business, government regulation is necessary. However, it remains questionable whether it is appropriate to repeatedly summon companies for showy reprimands during the limited time available for auditing state affairs.

When a company makes mistakes, it is naturally abandoned by consumers in the market. Kakao understands this well. That is why it quickly moved to calm public sentiment once controversy arose. Chairman Kim concluded the Political Affairs Committee audit by saying, "I overlooked important aspects," and "I take full responsibility for all controversies and sincerely apologize."

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