South Korean antitrust regulator fines Google $177M for abusing market dominance – TechCrunch

The Korea Fair Trade Commission (KFTC) said on Tuesday it fined Google $177 million for abusing its market dominance in its Android working system (OS) market.

The U.S. tech firm has restricted market competitors by prohibiting native smartphone makers like Samsung Electronics and LG Electronics from customizing their Android OS, via Google’s anti-fragmentation agreements (AFA), based on the antitrust regulator assertion.

Under the AFA, smartphone builders should not allowed to put in or develop “Android forks”, modified variations of Android.

The KFTC banned Google LLC, Google Asia Pacific and Google Korea from imposing native smartphone builders to signal the AFA and make adjustments on particulars concerning the present model. The new measure in South Korea will probably be utilized to not solely mobiles gadgets but in addition different Android-powered sensible gadgets together with watch and TV.

Android has spurred innovation amongst Korean cell operator house owners and software program builders and that has led to a greater consumer expertise for Korean customers, Google stated in its assertion. “The KFTC’s decision released today ignores these benefits, and will undermine the advantages enjoyed by consumers. Google intends to appeal the KFTC’s decision,” a spokesperson at Google stated.

The fee has been investigating Google over the anti-competition apply in OS market since July 2016, a spokesperson at KFTC stated.

Google’s international cell OS market share excluding China has been elevated to 97.7% in 2019 from 38% in 2010, as per KFTC’s announcement.

Google’s AFA has additionally restricted to launch tech firms’ new gadgets like sensible watches and TVs utilizing the working system (OS) together with Samsung’s sensible watch in 2013, LG Electronics’ LTE sensible speaker in 2018 in addition to Amazon’s sensible TV in 2018.

South Korea’s watchdog is probing into three different instances together with the Play Store app market, billing system and the commercial market.

Meanwhile, South Korea’s “anti-Google law”, takes effect on 14 September, based on Korea Communications Commission’s press release.

In late August, South Korea handed a invoice to curb international tech firms together with Google and Apple from imposing their very own proprietary in-app cost service and commissions on app builders.