Apple submits plan to allow third-party payments on South Korean app store

Photo- Reuters

South Korea’s telecommunications regulator said on Tuesday Apple Inc had submitted plans to allow third-party payment systems on its App Store to comply with a law banning major app store operators from forcing software developers to use their payments systems.

The Korea Communications Commission (KCC) had requested Apple and Alphabet’s Google to submit compliance plans after the bill was passed in August last year and went into effect in September.

Google announced its plans to allow alternative payment systems in South Korea in November to comply with the amended Telecommunication Business Act, dubbed the “anti-Google law”.

“We look forward to working with the KCC and our developer community on a solution that benefits our Korean users,” Apple said in a statement, but did not provide details such as timeline of when the new payment systems will take effect or commission fee rates.

It plans to discuss further details with the KCC, the regulator said. The KCC said Apple plans to allow alternative payment systems for a lower service fee versus the current 30% commissions.

In the United States, the iPhone maker is wading through a lawsuit brought by “Fortnite” creator Epic Games in 2020 when the game maker tried to get around Apple‘s 30% fee on in-app purchases by launching an in-app payment system of its own.

A U.S. judge last year ordered Apple to change its App Store rules, which ban developers from including links in buttons to outside payment systems over using Apple‘s own.

“I hope Apple‘s move here (in South Korea) isn’t another fake opening of payment systems as Google recently announced,” Epic Games CEO Tim Sweeney said in a tweet.

Apple said it paid developers a total of $260 billion through its App Store since its launch in 2008, implying a $60 billion payout to developers in 2021.

Reuters

Singapore Reporter/s

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Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.