Google and Apple are facing scrutiny in South Korea over their in app payment rules. Both companies were criticized by the government in South Korea, which is considering a ban on their payment rules that could also potentially shake up their dominance in the industry.

AppleAccording to a TechCrunch report, the Cupertino based and search engine giant are facing trouble in South Korea due to their established rules for how third party apps in their app stores charge for services. In the country, parliamentary committee passed a bill earlier this month to prevent both firms from charging software developer’s commissions on in app purchases. As of right now, this bill is the first of its kind in the world.

Furthermore, the final vote for this planned ban on Google and Apple payment rules by all members of the National Assembly, which was expected to be held in a plenary session on the same day, has been delayed at the moment. Media reports stated that the plenary session was postponed to August 30. If the new bill is adopted, South Korea will become the first nation that banned the global tech firms from charging third party developers on in app payments.

Apple

The bill has been called the “Anti-Google law” and was approved by the legislation and judiciary committee of the National Assembly to revise the Telecommunication Business Act. In a statement, Apple said that “the proposed Telecommunications Business Act 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. We believe user trust in App Store purchases will decrease as a result of this proposal—leading to fewer opportunities for the over 482,000 registered developers in Korea who have earned more than KRW8.55 trillion to date with Apple.”

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