Apple’s rake practices in the App Store have come under increasing scrutiny in recent years, with a recent raid on Apple’s local offices in South Korea to investigate whether their rake was illegal.
According to reports, the Korea Fair Trade Commission (KFTC) previously raided a mobile game developer in South Korea in response to a complaint that the developer accused Apple of charging a 33% commission, which was not in line with the 30% they claimed. However, in fact, Apple’s practice is to charge value-added tax (VAT) in addition to the 30% commission, so the commission is actually different according to the value-added tax rate of different countries. The Google Play Store does not charge additional VAT.
In addition to the KFTC, the Communications Commission (KCC) in South Korea is currently reviewing the in-app payment practices of Apple, Google and One Store, with the opportunity to impose fines of up to 2% of their average annual revenue.