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Google Claims It Creates $10bn in Consumer Benefits For Korea Annually

Internet giant says it provides huge benefits for South Koreans through its Play Store, its search engine service, and productivity apps such as Google Docs

Google has reminded Koreans about the economic benefits it has allegedly generated in the country. File photo by Reuters.

 

Alphabet Inc’s Google said on Wednesday its presence in South Korea equates to nearly 12 trillion won ($10.16 billion) in economic benefits for its users, as the US tech giant faces increased scrutiny from regulators and politicians.

Google’s announcement came a day after South Korea‘s antitrust agency fined Google 207 billion won ($177m) for blocking customised versions of its Android operating system, in the company’s second setback in the country in less than a month.

The Korea Fair Trade Commission said this could be the ninth-biggest fine it has ever imposed.

Google said during an online event that it annually provides 5.1 trillion won worth of benefits for South Koreans through its Play Store, 4.2 trillion won through its search engine service, and 2.5 trillion won through its productivity apps, including Google Docs, citing a report from consulting firm AlphaBeta.

Google added that it also annually provides 10.5 trillion won in economic benefits for South Korean companies.

Google did not explain how such assessments were made.

 

YOUTUBE BOOST 

YouTube CEO Susan Wojcicki said it contributed more than 1.5 trillion won to South Korea‘s gross domestic product (GDP) in 2020 and created more than 86,000 full-time jobs.

“We will continue to do our best to support our partners to grow and advance into the world and to positively contribute to the South Korean economy,” Google Korea‘s country director Kim Kyoung-hoon said during the event.

Earlier, in late August, parliament passed an amendment to South Korea‘s Telecommunications Business Act – popularly dubbed the “anti-Google law” to ban major app store operators such as Google from forcing software developers to use their payment systems and effectively stopping developers from charging commission on in-app purchases.

 

• Reuters and Jim Pollard

 

ALSO SEE:

South Korea Fines Google $177m For Blocking Android Customisation 

South Korea Set to Curb Google, Apple Commission Dominance

 

Jim Pollard

Jim Pollard is an Australian journalist based in Thailand since 1999. He worked for News Ltd papers in Sydney, Perth, London and Melbourne before travelling through SE Asia in the late 90s. He was a senior editor at The Nation for 17+ years and has a family in Bangkok.

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