Apple agreed to allow alternative payment options in South Korea

Apple Inc. will finally allow other payment options in South Korea, and this move has been made to comply with the new law in the country where app store operators are banned from forcing people to use their own in-app payment systems.

The South Korean telecommunications regulator, which is the Korea Communications Commission (KCC), confirmed the changes and shared Apple agreed to the rules earlier this week. This arrangement followed after the new law in S. Korea took effect in September last year. This restricted Apple, Google, and other app store operators from forcing app developers from using their in-app payment modes.

Yonhap via The Korea Herald reported that in November 2020, Google made a promise to provide another payment system on its app store for users in S. Korea, and its service charge will also be reduced, which is still part of its compliance with the country's law related to in-app payments.

This means that compared to the previous 30% charge, it will be lowered a bit in response to KCC's rules. Apple also wrote this reduction in their compliance plans that were submitted to the commission. Then again, the exact time or date when the changes in Apple's app store's service fee will take effect was not mentioned as of this time.

"We look forward to working with the KCC and our developer community on a solution that benefits our Korean users," the iPhone maker said in a statement. "Apple has a great deal of respect for Korea's laws and a strong history of collaboration with the country's talented app developers. Our work will always be guided by keeping the App Store a safe and trusted place for our users to download the apps they love."

Reuters further reported that Apple already forwarded its plans to allow third-party payment methods on its app store to the country's telecommunications regulator. KCC also asked Google to submit compliance plans before it can operate its app store in the country without issues.

Finally, KCC said that app store operators who will not abide by the rules related to in-app payments and fees are set to face a hefty fine.