South Korea fines Google, Apple ₩63.7 billion over in-app payment policies

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South Korea fines Google, Apple ₩63.7 billion over in-app payment policies

Synopsis

South Korea has delivered its most concrete blow yet against Big Tech app store dominance — fining Google and Apple a combined $45 million for forcing developers into proprietary payment systems. Three years in the making, the ruling reinforces Seoul's status as a global pioneer in app store regulation, even as both companies are likely to contest the corrective orders.

Key Takeaways

South Korea's KMCC approved combined fines of ₩63.7 billion ($45 million) against Google and Apple on 28 October 2026 .
Google was fined ₩42.9 billion ; Apple was fined ₩20.81 billion for violating the Telecommunications Business Act .
Both companies were found to have abused dominant positions by restricting app developers to proprietary payment methods and imposing unfavourable conditions on third-party options.
The KMCC will issue corrective orders but will not file criminal complaints against either firm.
The investigation was first launched in October 2023 , making this a three-year regulatory process.
Separately, Google removed 449 South Korean YouTube channels in Q2 2026, with 367 taken down in May — just before the June 3 local elections .

South Korea's broadcasting and telecommunications regulator, the Korea Media and Communications Commission (KMCC), on Wednesday, 28 October 2026, approved a combined fine of ₩63.7 billion (approximately $45 million) against Google and Apple for violating the country's Telecommunications Business Act through restrictive in-app payment policies. The decision marks the conclusion of an investigation that began when the regulator first notified both US tech giants of the alleged violations in October 2023.

Breakdown of the Fines

Google faces the steeper penalty at ₩42.9 billion, while Apple has been fined ₩20.81 billion. The KMCC stated it will also issue corrective orders to both companies but confirmed it will not file criminal complaints against either firm. The fines represent a significant regulatory action against the duopoly that dominates global app distribution.

What the Regulator Found

The KMCC concluded that both Google and Apple abused their dominant positions in their respective app marketplaces by forcing app developers to use specific, proprietary payment systems. Beyond mandating their own payment gateways, the commission found both companies had imposed unfavourable conditions on developers who sought to integrate third-party payment options — effectively limiting competitive alternatives and squeezing developer margins. South Korea had pioneered legislation in 2021 that mandated app stores allow alternative payment methods, making it one of the first countries in the world to do so. This fine underscores that the regulator views compliance as incomplete.

A Three-Year Investigation

The path to Wednesday's ruling stretched over roughly three years, with the KMCC first formally notifying Google and Apple of alleged violations in October 2023. This timeline reflects the complexity of building a regulatory case against two of the world's most valuable technology companies, which have consistently contested similar rulings globally. The decision arrives amid a broader international wave of antitrust scrutiny of app store practices, including ongoing proceedings in the European Union and the United States.

Google's YouTube Channel Removals: A Separate Development

Separately, a recent report highlighted that Google shut down 449 South Korean YouTube channels during the second quarter of 2026 for politically charged content. According to Google's own Influence Operations Bulletin Q2 2026, published by its Threat Analysis Group, 22 channels were terminated in April, 367 in May, and a further 60 in June. Notably, the largest wave of removals in May came just weeks before South Korea's June 3 local elections. The terminated channels had shared content either critical of or supportive of the South Korean government, or expressing partisan sentiment toward particular political parties and figures. The timing is significant: Google had not removed any South Korean YouTube channel between the second quarter of 2025 and the first quarter of 2026. During that same period, the company shut down 9,173 channels linked to China and 2,083 linked to Russia.

What Comes Next

Both Google and Apple are expected to respond formally to the KMCC's corrective orders, and legal challenges cannot be ruled out given their track records in contesting similar rulings globally. The outcome of this case is likely to be closely watched by regulators in other jurisdictions weighing comparable actions, as South Korea has repeatedly served as an early proving ground for app store regulation.

Point of View

Yet this fine — arriving five years later — suggests that landmark law has been imperfectly enforced. The ₩63.7 billion penalty, while symbolically significant, amounts to a fraction of a day's revenue for either company, raising the question of whether financial penalties alone can change platform behaviour. What may carry more weight are the corrective orders, whose specific requirements have not yet been detailed publicly. Globally, this ruling adds pressure on the EU's Digital Markets Act enforcement and the ongoing US Department of Justice proceedings — Seoul's precedent has a way of travelling.
NationPress
28 Oct 2026

Frequently Asked Questions

Why did South Korea fine Google and Apple?
South Korea's KMCC fined Google and Apple for violating the Telecommunications Business Act by forcing app developers to use their proprietary in-app payment systems and imposing unfavourable conditions on third-party payment options. The regulator found both companies had abused their dominant positions in their respective app marketplaces.
How much were Google and Apple each fined?
Google was fined ₩42.9 billion and Apple was fined ₩20.81 billion, for a combined penalty of ₩63.7 billion (approximately $45 million). The KMCC also issued corrective orders to both companies but did not file criminal complaints.
How long did the investigation take?
The KMCC first notified Google and Apple of the alleged violations in October 2023, meaning the investigation took approximately three years to reach this ruling. The case reflects the complexity of pursuing antitrust actions against two of the world's largest technology companies.
What does this mean for app developers in South Korea?
App developers in South Korea could gain greater freedom to offer alternative payment systems following the corrective orders issued alongside the fines. South Korea passed legislation in 2021 requiring app stores to allow third-party payment options, and this ruling reinforces the regulator's intent to see that law fully implemented.
What were the South Korean YouTube channel removals about?
Google removed 449 South Korean YouTube channels in Q2 2026 for content that was either critical of or supportive of the South Korean government or particular political parties. The largest batch — 367 channels — was removed in May 2026, just ahead of the June 3 local elections, according to Google's own Influence Operations Bulletin.
Nation Press
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