SOUTH KOREA - Google Fined for Abusing Market Dominance

K. Farmer

Korea’s antitrust regulator fined Google 207.4 billion won ($177 million) for abusing its market dominance to prevent the market entry of competing operating system (OS) developers.

The Korea Fair Trade Commission’s (KFTC) fine and corrective measure are the latest moves to curb alleged unfair practices by the U.S. tech giant, following the National Assembly passing a bill banning Google from requiring app developers on its app store use its payment system. Google’s requirement was devised to increase revenues from fees.

In the latest measure, Google has been ordered to allow electronic device makers to use operating systems other than its Android OS. The watchdog said the multinational company had effectively prevented device manufacturers from developing products loaded with modified versions of the OS. The tech giant had also been forcing manufacturers to sign contracts under which the devices would have to incorporate Google’s own app market, Play Store.

Google initiated these measures in 2011, effectively increasing its hold over the global OS market. Google’s market share grew from 38 percent in 2010 to 87.4 percent in 2012, 93.2 percent in 2014 and 97.7 percent in 2019.

“The keyword in this case is platform. The network effect and resulting dominance in the platform sector makes it difficult for new players to enter the market,” KFTC Chairperson Joh Sung-wook told reporters in a briefing.

“By taking this serious measure against the practice of abusing a dominant status in the platform sector, we expect this to serve as a precedent to refer to in executing the law for platform-related cases.”

-www.koreatimes.co.kr, 14 September 2021

Commentary

Powerful economies in the global market—in this case, South Korea—are beginning to rein in the excesses of these monopolistic US firms. What they’re able to get away with on US soil doesn’t fly in other parts of the world. The article also mentions the European Commission taking similar action against Google in 2018. 

This means that these huge corporations will need to be careful not to step on the toes of other nations, which are becoming on par with the US in regulatory power. And that aligns perfectly with Scripture, which says: “And the ten horns which thou sawest are ten kings, which have received no kingdom as yet; but receive power as kings one hour with the beast” (Revelation 17:12). (By K. Farmer)

Arno Froese is the executive director of Midnight Call Ministries and editor-in-chief of the acclaimed prophetic magazines Midnight Call and News From Israel. He has authored a number of well-received books, and has sponsored many prophecy conferences in the U.S., Canada, and Israel. His extensive travels have contributed to his keen insight into Bible prophecy, as he sees it from an international perspective.

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