Google fined USD 177 Mn by South Korea over anti-competitive practices

By Nikita Chaurasia  | Date: 2021-09-15

Google fined USD 177 Mn by South Korea over anti-competitive practices
  • The fine is considered to be the ninth-biggest by the regulator to date.
  • It was announced when South Korea’s Telecommunications Business Act, popularly known as “anti-Google law” came into effect

South Korea’s Korea Fair Trade Commission (KFTC) has fined 207 billion won (USD 176.64 million) on Google for blocking customized variants of its Android operating system, making this the second major setback for the tech giant in less than a month.

The antitrust regulator mentioned that terms with device manufacturers reflected abuse of Google’s dominance that restrained competition in the mobile operating system market. Meanwhile, Google responded that it plans to file an appeal claiming that the ruling ignores the advantages of Android’s compatibility with other programs and undermines the benefits enjoyed by consumers.

The fine was announced when the changes to the nation’s Telecommunications Business Act, which is popularly known as “anti-Google law” came into effect. The law can now forbid Google and other app store operators from requiring software developers to use their payment methods.

It was a requirement that restricted developers from making commissions via in-app purchases.

KFTC stated that Google obstructed competition by compelling device makers to adhere to an “anti-fragmentation agreement (AFA)” on signing important contracts related to app store licenses.

Under the AFA, manufacturers could not have modified versions of Android called “Android forks” in their handsets that has assisted Google in building its dominance in the mobile OS market, as mentioned by KFTC.

It is worth noting that Samsung Electronics Co Ltd had launched a smartwatch with a customized Android OS in 2013 but changed to a different version after Google considered the move as a violation of AFA, as stated by KFTC.

The regulator claims that the fine imposed could be the ninth biggest to date.

Source Credits –

https://leaderpost.com/pmn/business-pmn/s-korea-fines-google-177-mln-for-blocking-android-customisation

About Author

Nikita Chaurasia     aeresearch.net

Nikita Chaurasia

An accomplished professional in the field of content development, playing with words comes naturally to Nikita Chaurasia. After completing her post-graduate MBA degree in Advertising and PR, Nikita worked across numerous content-driven verticals, undertaking diverse r...

Read More >>

More News By Nikita Chaurasia

WeWork India rectifies glitch that revealed visitors’ personal data

WeWork India rectifies glitch that revealed visitors’ personal data

By Nikita Chaurasia

WeWork Inc., a flexible workspace solutions company, has reportedly corrected a security flaw that gave unrestrained access to the personal details and selfies of several users who visited its coworking spaces. Sandeep Hodkasia, a security consult...

China’s Great Wall Motor suspends USD 1 Bn investment plan in India

China’s Great Wall Motor suspends USD 1 Bn investment plan in India

By Nikita Chaurasia

After failing to get regulatory permits, China's Great Wall Motor has reportedly abandoned its plans to invest USD 1 billion in India and has fired all employees from its Indian facilities. The Chinese automaker had planned to penetrate the India...

Walmart to double down on frictionless optical care with Memomi buyout

Walmart to double down on frictionless optical care with Memomi buyout

By Nikita Chaurasia

Walmart Inc. is reportedly planning to acquire the augmented reality optical tech firm Memomi, reflecting the retailer’s commitment to offering frictionless and omnichannel optical care. The buyout could potentially allow Walmart to offer a fun...

Google faces antitrust lawsuit from Danish job search entity Jobindex

Google faces antitrust lawsuit from Danish job search entity Jobindex

By Nikita Chaurasia

Google LLC was reportedly hit with an antitrust case by Jobindex, a Danish online job-search rival, that took its grievance to European regulators asserting that Alphabet Inc.’s subsidiary is unjustly favoring its job-search engine. The comp...

EU vows USD 630 Mn aid to vulnerable countries amidst Ukraine-conflict

EU vows USD 630 Mn aid to vulnerable countries amidst Ukraine-conflict

By Nikita Chaurasia

The European Union has reportedly pledged USD 630 million to support weaker nations to tackle food scarcity that was made worse by Russia's assault on Ukraine. The funds include USD 368 million in aid to increase long-term sustainable food produc...