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The South Korean antitrust authority has fined Alphabet

The South Korean antitrust authority has fined Alphabet. The Korean Commission has been investigating Google since 2016.

The South Korean antitrust authority has fined Alphabet
Yazar: Tom Roberts

Yayınlanma: 15 Eylül 2021 04:31

Güncellenme: 16 Aralık 2024 13:15

The South Korean antitrust authority has fined Alphabet

The South Korean antitrust authority has fined Alphabet, Google's parent company, 207 billion won (149.59 million euros) for abusing its dominant position in the markets for mobile operating systems and applications. The office announced it on Tuesday. According to the Korea Fair Trade Commission, Google is blocking customized versions of the Android operating system, while its conditions for device manufacturers constitute an abuse of a dominant market position and restrict competition. Google has announced plans to appeal, arguing that the decision ignores the benefits offered by Android's compatibility with other programs and undermines the benefits that consumers have. The fine comes on the day the amendment to the South Korean Telecommunications Act - popularly called the "Anti-Google Act" - came into force. It prohibits application store operators such as Google from requiring software developers to use their payment systems. This requirement virtually prevented developers from charging commissions for in-app purchases. In fact, the law declared the lucrative monopolies Play Store and App Store illegal. The KFTC also stated that Google is hampering competition by forcing device manufacturers to comply with a "fragmentation agreement" when signing key license agreements in the application store. Under the AFA, manufacturers could not equip their phones with modified versions of the Android system, known as "Android forks". This has helped Google consolidate its dominant position in the mobile operating system market, the commission said. Last week, a U.S. court again ordered Apple to release control of its App Store payment system in an antitrust battle with Fortnite Epic Games. Google and Apple dominate the online application market in South Korea, the world's 12th largest economy known for its technology. The Korea Fair Trade Commission has been investigating Google since 2016.
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