Apple and Google can no longer force app developers to use their payment methods.
A major point of contention in digital markets around the world is the forced use of certain payment methods on app stores. Whether developers list their apps on Apple’s App Store or the Google Play Store, Apple and Google’s respective payment methods take a 30% commission from any payments received. These app taxes have been a sticking point for small business app developers who are tired of paying fines to Apple and Google. While here in the states, companies have been waging private lawsuits, elsewhere, the governments themselves have taken up arms.
In a global first, Google and Apple will have to open their app stores to alternative payment systems in South Korea, threatening their commissions https://t.co/ySAs1JSHdq
— The Wall Street Journal (@WSJ) August 31, 2021
The South Korean parliament passed a new bill today that prevents Apple and Google from forcing their respective stores’ payment methods onto app developers. Once the bill is signed by South Korean President Moon Jae-in, it will become law.
New law will force Google and Apple to allow alternate payment systems for in-app purchases in South Korea https://t.co/9C7d6IhZ4j
— TechCrunch (@TechCrunch) August 31, 2021
Spokespeople for Apple and Google have both expressed concerns with the bill. The Apple spokesperson said that it will “put users who purchase digital goods from other sources at risk of fraud, undermine their privacy protections, make it difficult to manage their purchases and features like ‘Ask to Buy’ and Parental Controls will become less effective.”
The Google spokesperson added that there is a practical reason for the 30% service fee, saying it “helps keep Android free, giving developers the tools and global platform to access billions of consumers around the world.”
GOP Senators Attempt to Recruit Joe Manchin
Apple Headhunts AR Worker from Meta
-
The U.S. 10-year Treasury yield has pushed through the closely watched 5% level, adding another challenge for investors already...
-
Rocket Lab has completed a $1.944 billion at-the-market equity offering as it moves closer to acquiring satellite communications company...
-
The global economy has handled several major shocks better than many economists initially expected. But International Monetary Fund Managing...
-
Global oil markets started September with another sharp reminder of just how quickly geopolitical tension can move energy prices....
-
Two very different parts of the financial market moved higher this week. Global oil prices climbed to their highest...
-
The Federal Reserve’s July meeting minutes have given investors a clearer look at what policymakers are thinking about inflation...
-
Oil prices jumped sharply on August 10 as uncertainty surrounding shipping through the Strait of Hormuz returned to the...
-
The first week of August brought a fresh wave of attention to India’s economy. The Reserve Bank of India...
-
Global financial markets experienced fresh movement as oil prices climbed, Treasury yields shifted, and investors looked for stability following...
-
South Korea took swift action on July 21 to address recent volatility in its currency markets. The Korean Won...
-
The Bank of Canada (BoC) has decided to keep its benchmark overnight interest rate steady at 2.25% for the...
-
The U.S. dollar surged in early July as investors sought safety amid ongoing geopolitical tensions in the Gulf. The...
