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Apple to Allow Third-Party App Store Payment System in South Korea

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Apple has told South Korean authorities that it will offer an alternative App Store payment system.

Apple and Google have been criticized — and even sued — for banning developers from implementing their own payment systems in apps. The two companies are notorious for charging developers high commission fees for each in-app purchase (IAP) a user makes.

Last year, South Korea passed a law that forces the two tech giants to allow developers to implement their own IAP methods. As a result, Apple has decided to comply and allow alternative payment systems in the country.

Apple stopped short of saying when the new system will be available in documentation provided to the Korea Communications Commission.

According to a report by The Korea Herald, the plans include a surcharge of lower than the current 30 percent cut Apple takes from App Store transactions. There’s no word on exactly what the new cut will be or how it will work, however.

“We look forward to working with the KCC and our developer community on a solution that benefits our Korean users,” Apple said in a statement to local news, going on to say that it “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.”

The KCC had previously told Apple that it would face a fine if it continued to prevent third-party payment options from being offered via the App Store.

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