Apple and Google Given Mid-October Deadline in South Korea for Filing Plans to Allow Outside Payment Systems in Apps

Apple and Google have been asked to provide compliance plans for a newly amended law in South Korea that bars both tech giants from forcing developers to using their in-app purchase payment system for their respective app distribution platforms, Reuters reports.

Mac App Store General Feature
In August, South Korea passed an amendment to an existing law that bans Apple and Google from mandating developers to use their own proprietary in-app purchasing system. Apple's in-app purchasing system gives the company a 15 to 30% commission for all purchases made and has been a hot topic for Apple and the discussion around the App Store for some time. Under the new law in South Korea, which is yet to go into effect, Apple and Google will be required to allow developers to use third-party payment methods within their app.

Apple has in recent weeks made some concessions to its ‌App Store‌ policy, most notably pivoting to allow developers to add links in their apps to external websites where purchases can be made. Those concessions come short of the mandate created by South Korea, which permits developers to add third-party payment methods directly within their app.

Apple has continued to call its in-app purchasing system the most trusted and safest way for customers to make purchases. Still, in light of recent decisions in its lawsuit against Epic Games, the Cupertino tech giant is being forced to rethink its model.

Apple operates the ‌App Store‌ under a single set of policies worldwide, and while the law passed in South Korea pertains to South Korean users, it will undoubtedly play a domino effect across the globe. With the mid-October deadline now set in South Korea for Apple and Google, we'll likely see how this decision could have repercussions around the world for Apple users soon.

Top Rated Comments

macar00n Avatar
9 months ago
Here's a plan to allow for outside payment: remove your app from whichever app store, launch it on your own platform, and accept payments through that. "But then I'd have to build my own platform and it wouldn't have hundreds of millions of users like Apple and Google do." Yeah, that's the point - you have to give in order to get, I don't understand developers wanting all the benefits of these world class ecosystems but without paying into them. I'd love to drive a Lambo at the price of a Civic but I don't live in South Korea so I'd never win that court case.
Score: 24 Votes (Like | Disagree)
realeric Avatar
9 months ago
I wish I could sell product on amazon without paying fees to amazon. Or have a space in a department store at no cost. These guys are pushing apple and google to do the same thing.
Score: 19 Votes (Like | Disagree)
vladi Avatar
9 months ago
But you use outside payment systems all the time. As a matter of fact you use it more than you use Apple's merchant account.
Score: 14 Votes (Like | Disagree)
satchmo Avatar
9 months ago
I'm guessing South Korea will be without an App Store by mid-October.
Score: 14 Votes (Like | Disagree)
TheYayAreaLiving ? Avatar
9 months ago
I wouldn’t trust entering my payment information to a third party. Hopefully Apple finds an alternative solution.
Score: 13 Votes (Like | Disagree)
AppleTO Avatar
9 months ago
I will definitely not be using outside payment systems.
Score: 12 Votes (Like | Disagree)

Related Stories

app store blue banner

South Korea Could Ban Apple From Requiring Developers to Use In-App Purchase System

Tuesday August 24, 2021 10:31 am PDT by
South Korea may soon ban Apple and Google from requiring app developers to use their in-app purchase systems, reports Reuters. South Korea's legislation and judiciary committee is expected to approve an "Anti-Google Law" that amends the existing Telecommunications Business Act. It will require Apple and Google to allow third-party payment methods in their app stores in South Korea, and it...
iOS App Store General Feature Dock 2

Apple Defends App Store Changes in the Netherlands as Fines Reach €30 Million

Monday February 28, 2022 9:32 am PST by
Amid an ongoing dispute with the Authority for Consumers and Markets (ACM) in the Netherlands over the App Store, Apple has defended its plan to require app developers to submit an additional app binary for the Dutch storefront if they wish to use a third-party payment processing method. The ACM has ruled that Apple must allow dating apps in the Netherlands to use third-party payment...
General App Store South Korea Feature Feature

Apple Accused of Not Doing Enough to Comply With South Korean App Store Law

Tuesday November 16, 2021 5:09 am PST by
Apple is not doing enough to comply with South Korean legislation that forbids app store operators from forcing developers to use their payment systems, according to lawmaker Jo Seoung-lae, Reuters reports. Via an amendment to the Telecommunication Business Act, South Korea is the first country endeavouring to stop developers from being forced to use a single payment system offered by app...
backpack for 24inch imac

Twelve South Launches New 'BackPack' Shelf for 24-Inch iMac

Tuesday February 15, 2022 8:04 am PST by
Twelve South today debuted a new version of its BackPack accessory, this one designed to fit the 24-inch M1 iMac. The BackPack for 24-inch iMac is available to order on Twelve South today for $44.99, and it only comes in a white color option. You can install the BackPack in two steps, using an included two-piece holster that snaps into the oval opening on the back of the iMac stand. The...
google play alternative billing

Google Play Will Let Developers Use Alternative Billing Systems in South Korea, While Apple Has Yet to Make Changes

Thursday November 4, 2021 8:57 am PDT by
The South Korean government recently passed a law that bans Apple and Google from requiring developers to use their in-app purchase systems in the App Store and Google Play respectively, and Google has now announced changes to comply with the law. In a blog post, Google said it will be giving developers the option to add an alternative in-app billing system alongside the Play Store's billing ...
iOS App Store General Feature Dock 2

Apple Would Rather Pay Up to €50 Million in Fines Than Address 'Gatekeeper' App Store Behavior, Says EU Chief

Wednesday February 23, 2022 6:14 am PST by
Apple would rather pay a maximum of €50 million in fines than address concerns brought forward by the Dutch competition authority regarding developer access to third-party payment methods on the App Store, the EU's head of digital policy, Margrethe Vestager, has said. During a speech about the digital economy and privacy (via TechCrunch), Vestager said that Apple "essentially prefers paying...
iOS App Store General Feature JoeBlue

Illinois Floats Bill That Would Let Developers Skirt Apple's In-App Purchase Rules

Wednesday January 19, 2022 4:09 pm PST by
Illinois is the latest state to attempt to pass legislation that would prevent developers from being required to use Apple's in-app purchase options by allowing for alternate payment solutions within apps. As outlined by Illinois news site WGEM, under the Freedom to Describe Directly Act, distribution platforms like the App Store and Google Play would not be able to force Illinois developers ...
iOS App Store General Feature Dock

Dutch Regulator Says Apple's Plan for Third-Party In-App Payments is Insufficient, Fines Apple 5 Million Euros

Monday January 24, 2022 6:33 am PST by
The Dutch Authority for Consumers and Markets (ACM) has ruled that Apple's plan to allow App Store dating apps to use third-party payment methods for in-app purchases does not sufficiently meet the requirements of a previous ruling. As a result, the ACM has hit Apple with an initial 5 million euro fine as a consequence, and fines will continue to be assessed at 5 million euros per week up to a...

Popular Stories

iPhone 14 Purple Lineup Feature

Will the iPhone 14 Be a Disappointment?

Saturday May 21, 2022 9:00 am PDT by
With around four months to go before Apple is expected to unveil the iPhone 14 lineup, the overwhelming majority of rumors related to the new devices so far have focused on the iPhone 14 Pro, rather than the standard iPhone 14 – leading to questions about how different the iPhone 14 will actually be from its predecessor, the iPhone 13. The iPhone 14 Pro and iPhone 14 Pro Max are expected...
iPhone 13 Face ID

'High-End' iPhone 14 Front-Facing Camera to Cost Apple Three Times More

Monday May 23, 2022 7:05 am PDT by
The iPhone 14 will feature a more expensive "high-end" front-facing camera with autofocus, partly made in South Korea for the first time, ET News reports. Apple reportedly ousted a Chinese candidate to choose LG Innotek, a South Korean company, to supply the iPhone 14's front-facing camera alongside Japan's Sharp. The company is said to have originally planned to switch to LG for the iPhone...
iPhone 13 Always On Feature

iPhone 14 Pro Screen Refresh Rate Upgrade Could Allow for Always-On Display

Tuesday May 24, 2022 7:23 am PDT by
Last year's iPhone 13 Pro models were the first of Apple's smartphones to come with 120Hz ProMotion displays, and while the two iPhone 14 Pro models will continue to feature the technology, their screens could well boast expanded refresh rate variability this time round. To bring ProMotion displays to the ‌iPhone 13 Pro models‌, Apple adopted LTPO panel technology with variable refresh...
apple music

Apple Increases Apple Music Subscription Price for Students in Several Countries

Sunday May 22, 2022 1:57 am PDT by
Apple has silently increased the price of its Apple Music subscription for college students in several countries, with the company emailing students informing them their subscription would be slightly increasing in price moving forward. The price change is not widespread and, based on MacRumors' findings, will impact Apple Music student subscribers in but not limited to Australia, the...
EA Apple Maybe Feature

Apple Reportedly Talked With Electronic Arts About Potential Acquisition

Monday May 23, 2022 10:58 am PDT by
Apple is one of several companies that have held talks with Electronic Arts (EA) about a potential purchase, according to a new report from Puck. EA has spoken to several "potential suitors," including Apple, Amazon, and Disney as it looks for a merger arrangement. Apple and the other companies declined to comment, and the status of the talks is not known at this time, but Apple does have an ...
sony headphones 1

Sony's New WH-1000XM5 Headphones vs. Apple's AirPods Max

Friday May 20, 2022 12:18 pm PDT by
Sony this week came out with an updated version of its popular over-ear noise canceling headphones, so we picked up a pair to compare them to the AirPods Max to see which headphones are better and whether it's worth buying the $400 WH-1000XM5 from Sony over Apple's $549 AirPods Max. Subscribe to the MacRumors YouTube channel for more videos. First of all, the AirPods Max win out when it comes ...