According to The Register, South Korea’s antitrust regulator has fined Google 42.1 billion won ($31.88 million) for blocking the release of mobile video games on a competitor’s platform. The Korea Fair Trade Commission (KFTC) said that Google strengthened its market dominance and hurt local app market OneStore‘s revenue and value by requiring video game makers to exclusively release their titles on Google Play in exchange for providing in-app exposure.
When OneStore came to market in 2016, Google told developers that it would not feature their products in its own Play Store if they also used OneStore. The search and text ads giant also told developers it could help them enter markets outside Korea if they signed up for exclusive use of Play in South Korea.
OneStore merged the app stores of South Korea’s top three telcos and Naver, an internet search company that is the nation’s number one online destination. Therefore, the four entities behind OneStore had plenty of loyal and engaged customers to target, and the combined muscle to make the business successful. But as the Commission’s announcement of its fine spells out, without apps users wanted OneStore struggled.
Google said it would review the final decision by the KFTC to evaluate the next course of action. The KFTC said the move against the U.S. technology giant is part of efforts by the government to ensure fair markets.
