Concerns over a 10-20% sales surcharge
‘In-app payment mandatory’ regulation to be lifted starting from fall
Apple has decided to allow ‘outlinks’ within apps to other platforms or websites under pressure from European Union (EU) regulators. This is to improve Apple’s unique closed ecosystem. On the other hand, there are criticisms in Korea that the level of improvement is insufficient.
Apple announced on the 8th (local time) that it will withdraw the mandatory regulation of in-app payments in the App Store in Europe this fall. In-app payments are a system that allows payments only within the Apple App Store. With the withdrawal of in-app payments, European app developers will be allowed to link out from within their apps to other platforms or websites.
This measure is a measure in accordance with the provisional conclusion of the European Commission that the closed operation of the Apple App Store violates the Digital Markets Act (DMA), which prevents big tech from abusing its power. The European Commission is scheduled to finalize the level of sanctions against Apple in March next year. If Apple is judged to have violated the DMA obligations, it will have to pay a fine of up to 10% of its annual global sales, and the fine can increase to 20% for repeated violations.
When Korea enacted the world’s first ‘In-App Payment Mandatory Prohibition Act’ (Revised Telecommunications Business Act) in 2021, Apple took a step back by allowing in-app third-party payments. However, the commission rate was set at 26%, which is only 4 percentage points lower than the in-app payment rate (30%). As a result, many are saying that in-app third-party payment methods are ineffective.
Reporter Jang Eun-ji [email protected]
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