The Republic of South Korea (ROK) is on the brink of implementing stringent regulations targeting select tech companies. President Yoon Suk Yeol recently expressed his support for new measures aimed at curbing the activities of technology firms classified as “dominant platform business entities.” These regulations, akin to the European Union’s Digital Market Act (DMA), have sparked debates over their potential impact on national security.
The proposed measures are expected to be reviewed by the National Assembly in the coming days as part of a broader bill addressing unfair online market practices. While the goal is to foster competition and consumer choice, concerns are being raised about potential unintended consequences, particularly regarding national security.
The DMA, enacted by the EU in 2022, has inspired several countries to craft their own versions, adapting the European blueprint to their digital policies. However, critics argue that such legislation may inadvertently make countries more susceptible to security threats. In the case of South Korea, there are growing concerns that implementing DMA-style regulations could inadvertently benefit the Chinese Communist Party (CCP).
Related: South Korean Watchdog Fines Google For Lack Of Gaming Competition
The proposed regulations might disproportionately impact innovative tech leaders, primarily American companies, leaving Chinese tech giants like Alibaba and ByteDance untouched. This is raising eyebrows, especially considering the clear national security threats posed by these Chinese companies. TikTok, for instance, has announced plans to expand its creator program in Korea, while Alibaba has invested heavily in the Korean market, both raising concerns about potential CCP influence.
Experts warn that if enacted, the ROK’s regulations could strain relations between Washington and Seoul. By seemingly singling out American businesses, the regulations may create unnecessary friction at a time when the U.S.-ROK bilateral relationship is crucial for maintaining security and economic prosperity in the Indo-Pacific region. With China’s increasing economic and military aggression and North Korea’s destabilizing behavior, close collaboration between the U.S. and ROK is essential for addressing shared concerns and maintaining regional stability.
The strength of the U.S.-ROK alliance, rooted in decades of trust and cooperation, must be preserved for the sake of the entire Indo-Pacific region’s stability and security. Balancing the need for regulatory measures with the preservation of strong international partnerships remains a complex challenge that policymakers in South Korea will need to navigate in the coming weeks.
Source: The Hill
Featured News
Judge Appoints Law Firms to Lead Consumer Antitrust Litigation Against Apple
Dec 22, 2024 by
CPI
Epic Health Systems Seeks Dismissal of Antitrust Suit Filed by Particle Health
Dec 22, 2024 by
CPI
Qualcomm Secures Partial Victory in Licensing Dispute with Arm, Jury Splits on Key Issues
Dec 22, 2024 by
CPI
Google Proposes Revised Revenue-Sharing Limits Amid Antitrust Battle
Dec 22, 2024 by
CPI
Japan’s Antitrust Authority Expected to Sanction Google Over Monopoly Practices
Dec 22, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – CRESSE Insights
Dec 19, 2024 by
CPI
Effective Interoperability in Mobile Ecosystems: EU Competition Law Versus Regulation
Dec 19, 2024 by
Giuseppe Colangelo
The Use of Empirical Evidence in Antitrust: Trends, Challenges, and a Path Forward
Dec 19, 2024 by
Eliana Garces
Some Empirical Evidence on the Role of Presumptions and Evidentiary Standards on Antitrust (Under)Enforcement: Is the EC’s New Communication on Art.102 in the Right Direction?
Dec 19, 2024 by
Yannis Katsoulacos
The EC’s Draft Guidelines on the Application of Article 102 TFEU: An Economic Perspective
Dec 19, 2024 by
Benoit Durand