Apple and Google call on the White House to oppose a South Korean bill, set to face a vote this week, that would mandate multiple payment systems for IAPs
New York Times
Context & Ripple Effects
The companies’ White House appeal came as South Korea moved toward becoming the first country to bar app stores from requiring their own in-app payment systems. The immediate stakes were borne out days later, when the National Assembly passed the alternative-payments requirement.
Apple and Google must seek political support against a rule that would require their app stores to accommodate multiple in-app payment systems.
The bill puts the companies’ control of payment processing in South Korea directly at issue, rather than leaving payment rules solely to store operators.
Second-order effects
Developers gain a regulatory opening to press for payment options beyond Apple’s and Google’s systems, while the companies must adapt their app-store policies if the rule takes effect.
U.S. app-store legislation gains a concrete overseas reference point after South Korea’s vote, increasing pressure on Apple and Google’s policy arguments.
If similar rules spread, app-store gatekeeper power will be contested not only over app distribution but also over the payment layer and its enforcement.
The trend: App-store regulation is moving from scrutiny of platform rules toward mandates that limit gatekeepers’ control over in-app payments.
Total coincidence that Apple abandoned its customer privacy commitments the same month they're asking the US government to formally endorse and adopt Apple's app store and payments monopoly in foreign trade negotiations? https://twitter.com/...
It's insane the lengths Apple and Google will go to in order to maintain App Store restrictions... and I bet it's just a a coincidence that South Korea happens to be one of the worlds biggest Mobile Gaming markets. https://twitter.com/...
Apple & Google have asked the Biden administration to stop South Korea from passing a law that would ban App Stores from requiring in-app purchases use their payment systems and give them a 30% cut. Awkward since U.S. is debating a similar law in Congress https://www.nytimes.com/…
That said, if the Biden administration does step in to pressure South Korea to stop them from regulating Apple & Google's App Stores then we should assume this U.S. legislation is dead as well. https://www.cnbc.com/...
“The South Korean legislation would be the first law in the world to require companies that operate app stores to let users in Korea pay for in-app purchases using a variety of payment systems.”👀 “[It's] expected to face a crucial vote this week.” https://www.nytimes.com/...
“...the first law in the world to require companies that operate app stores to let users in Korea pay for in-app purchases using a variety of payment systems. It would also prohibit blocking developers from listing their products on other app stores.” https://www.nytimes.com/...
The South Korean legislation would be the 1st law in the world to require cos that operate app stores to let users in Korea pay for in-app purchases using a variety of payment systems. It would also prohibit blocking developers from listing their products on other app stores http…