Apple is facing yet another antitrust battle, this time in Korea. Local startups are calling for an investigation into Apple and Google over the 30% commission charged on in-app purchases.
Official stats show that the two companies jointly control 87.8% of the app market in South Korea …
The Korea Herald reports.
The startups say that the issue is made less fair by the fact that large companies may be in a position to negotiate lower commissions or exemptions, while small businesses cannot.
Local startup companies Wednesday have submitted a petition to the Korea Communications Commission, asking for an investigation into whether Apple and Google are violating laws related to in-app purchases.
According to an alliance of local application developers and startup firms, Apple has been forcing developers to use their specific in-app purchase system since 2011, through which the company takes around 30 percent commission from purchases by users […]
“While the 30 percent commission rate is too high in itself, it is more problematic that they force a specific payment system for the app markets,” Korea Startup Forum President Choi Sung-jin said.
Apple also created a special category of apps, known as ‘reader apps,’ with no commission applying to these – a step the company took to ensure that it was able to offer the Netflix app on its platform.
But such negotiations and exemptions are rare, and Apple is currently taking a strong stand against popular game developer Epic – albeit after the gaming company practically forced the hand of the iPhone maker.
The complaint comes just as Apple appears to be close to settling a separate antitrust investigation in Korea. The terms of the proposed settlement have not yet been shared, but this typically involves paying a fine and agreeing to changes in policy.
It was yesterday reported that Apple may face regulatory action against the App Store in China over an unrelated matter.
