For the first time, Google will allow users in South Korea to use alternative in-app payment systems
ByShehryar Makhdoom | Published date:
(Image credit: Google)
Developers will incorporate alternate payment methods into their apps following South Korea's newly passed legislation. Earlier this week, Google revealed that it would enable Android app developers to incorporate alternate solution payment systems into their apps following recently passed South Korean laws.
New legislation in South Korea has mandated the usage of alternate in-app payment mechanisms by app makers. Also prohibited legislation are unreasonable delays in the authorization of apps or the deletion of apps from the marketplace by app store marketplaces.
New in-app paying options for Android will be available as part of Google's adoption of this regulation, the company announced on its official blog.
You'll be able to select a payment method when you check out.
Developers that choose to use the alternative billing mechanism will still be charged a commission by Google, although this commission cost will be smaller than in the past. New fees are charged as reimbursement for Google's participation in distributing Android and Google Play Store applications.
"Service costs for Android and Google Play app distribution will continue to be dependent on digital sales. We willreduce the developer service price by 4% if a user chooses alternative billing because developers must cover the costs of supporting their billing system. This means that, for most developers who use Google Play's billing system, the service price they pay for transactions made using an alternative billing system would be "as high as 11 percent," Google reported.
According to Google's "Media Experience Program," some types of apps engaging in it will pay a 10% service charge for completed transactions via Google Play's billing system and only 6% for transactions made using an alternate mechanism.
Service fees will allow Google to deal with new legislation while still investing in Android and Google Play.
The internet giant also used the opportunity to mention that alternative billing methods may "not offer the same safeguards or payment alternatives and services" while explaining the shift.
Parental restrictions, family payment methods, membership monitoring, Google Play gift cards, and Play Points are all cited by Google as features that may not be accessible on other billing systems.
Since the new regulations, Google has revised its developer procedures, while Apple hasn't adjusted its South Korean operations.
First, Apple openly expressed its disagreement with the South Korean rules, saying they would put customers who purchase digital items from those other suppliers at risk of fraud, erode privacy protections, and make it much more challenging to handle their transactions.
Apple spokeswoman said at the time of the proposal.
"We believe customer trust in App Store purchases will drop as a result of this proposal—leading to fewer chances for the more than 482,000 registered developers in Korea who have earned more than 8.55 trillion won to date with Apple,"
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