Apple’s plan to allow developers to use third-party alternative payment methods in its apps “lacks specific details,” the Korea Communications Commission (KCC) said. In August, South Korea’s parliament passed a law that prohibits app store operators from requiring developers to use their in-app purchase system.
Last month, Apple submitted its compliance plan to the Korea Communications Commission to allow apps in Apple’s Korean App Store to use third-party payment methods within its apps. Apple’s plans include that the company will still charge a commission on all purchases, even those using a third-party alternative payment method, but details were not shared.
Now, before the final details of the law are finalized and promulgated, South Korea’s KCC says Apple’s submitted plans “lack specific details,” according to Reuters. The KCC is unhappy that Apple and Google still plan to charge commissions for products purchased using third-party payment methods, arguing that such commissions will tempt developers to continue using their respective default payment processes in the app stores.
“As a result of any policy, if app developers find it difficult to use an alternative payment system in practice, and resort to using the payment system of the dominant app store operator, it would be counterproductive for the purpose of the law,” The official added that this stance may be reflected in the final regulations.
A similar series of incidents took place in the Netherlands, one of several countries investigating the Apple App Store. Dating apps in the Netherlands will soon be allowed to use third-party alternative payment methods. Apple’s plans to comply with the law in the Netherlands have been criticized as insufficient to address concerns, leading to a weekly fine of 5 million euros, up to 50 million euros, until Apple complies with the law.
“We look forward to working with KCC and our developer community to develop solutions that benefit our Korean users,” Apple said in a previous statement on Korean law. “Our work will always be guided by keeping the App Store a safe and trusted place for our users to download their favorite apps, the company added.