"Need for Promotion Policies Suited to Market Characteristics" Ministry of Science and ICT Holds Final Report Meeting of 'Digital Platform Policy Forum'

[Asia Economy Reporter Eunmo Koo] In order to strengthen the competitiveness of domestic platforms against global giant platforms, it has been diagnosed that there is a need to establish promotion policies suitable for the domestic market as well as a forum for consultation to resolve conflicts with existing industrial sectors.

The Ministry of Science and ICT (MSIT) announced on the 23rd that it held the final report meeting and discussion session of the ‘Digital Platform Policy Forum’ at the Korea Press Center in Jung-gu, Seoul.

The ‘Digital Platform Policy Forum’ is a joint discussion body composed and operated by industry, academia, and research institutes to foster the healthy development and innovation environment of digital platforms. Since last September, over 40 experts from four subcommittees have held more than 30 meetings to deliberate on digital platform policy alternatives suitable for the domestic platform market.

Looking at the contents presented at the final report meeting, the first subcommittee, which discussed ways to activate platform-based innovation and enhance industrial competitiveness, stated that the government should actively nurture innovative digital platform startups and support their growth into globally competitive companies. As a priority policy to be promoted, they proposed a ‘Digital Platform Promotion Policy’ tailored to the competitiveness and market characteristics of domestic platform companies.

Furthermore, next year, it was suggested to review expanding the accessibility and usability of AI Hub, which provides data and artificial intelligence (AI), so that startups can easily utilize these resources. It was also emphasized that a fair consultation forum between platforms and traditional industries should be established. Additionally, in 2023, to activate active overseas investment attraction by domestic platform companies, it was stressed that startups should be supported with legal advice and other assistance when attracting foreign investment.

The second subcommittee, which discussed institutional improvements to activate platform competition, stated that considering the speed of technological development, innovativeness, and various industry and business types in the platform industry, it is necessary to consider the possibility of introducing regulatory measures that can be flexibly applied to various types of platforms.

The second subcommittee proposed, “Based on public-private cooperation, conditions should be created for industry-specific self-regulation to encourage platforms’ self-purification efforts, and enforcement efforts of existing laws should be carried out in parallel. Efforts to activate data access and utilization or mergers and acquisitions (M&A) of startups to strengthen market dynamism should also be reviewed.” However, they added that caution is needed against introducing legislation-focused regulations without sufficient analysis and discussion of new markets.

Discussions were also held on ways to enhance the social contribution of platforms. The third subcommittee, based on a survey of social contribution cases of 14 domestic platform companies conducted independently, stated that the social contribution and responsibility of platform companies should be analyzed from a comprehensive perspective of various stakeholders and developed accordingly. They emphasized the need for active government support in ‘developing evaluation methods for platform companies’ social contributions’ and ‘discovering and disseminating cases of social contribution activities.’

Moreover, it was proposed that in the future, digital platforms evolve into digital spaces where various social contribution services such as disaster, safety, and social issues are provided based on the data-network-technology possessed by platform companies, through cooperation between companies and the government.

Lastly, the fourth subcommittee, which has been discussing solutions to social issues surrounding platforms, emphasized the necessity of implementing the government’s forthcoming ‘Online Search and Recommendation Service Transparency Guidelines,’ ‘AI Ethics Self-Checklists,’ and ‘AI Development Manuals’ after sufficient industry feedback to enable companies to autonomously secure transparency and reliability.

They further explained the need for policies to further activate platform companies’ data utilization services and urged platform companies to actively participate in the government’s digital inclusion policies so that digitally marginalized groups can easily use platform services.

At the discussion session held in the afternoon, representatives from various fields including academia, research institutes, companies, and the legal sector participated as panelists: Yoon Myung, Secretary General of the Citizens’ Coalition for Economic Justice; Professor Lee Hwang of Korea University Law School; Research Fellow Lee Hwa-ryeong of KDI; Director Son Ji-yoon of Naver; and Attorney Son Do-il of Yulchon LLC. They presented opinions from various sectors on the core agenda proposed by the forum.

Minister Lim Hye-sook of MSIT stated, “The government will create an environment where the digital platform industry can continuously grow by accelerating the pace of innovation so that new challenges and investments occur continuously. We will also create a digital environment where socially vulnerable groups and digitally marginalized people can equally benefit alongside digital platforms.” She added, “Regarding overall policy alternatives that require social discussions including self-regulation systems, we will prepare and announce policy measures as soon as possible.”

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