Kakao reportedly acquiesced to pressure from Google to remove an external payment link in the Android version of its messaging app, ending a standoff sparked by the search giant’s refusal to approve the latest version of the service.
Yonhap News Agency reported Kakao agreed to Google’s demands despite concerns the US company’s billing policy breaches new rules and an ongoing probe by South Korea’s telecoms regulator.
Kakao and Google were reportedly at loggerheads since the company rejected the latest version of the KakaoTalk messaging app due to the external payment option.
In April, Google announced changes to its payment policy requiring developers selling digital goods and services to use its billing system and remove external payment links.
The move was an about-face for Google after it introduced a policy in the nation in 2021 allowing developers to provide third-party options.
Months earlier, South Korea’s National Assembly passed legislation preventing app store providers from requiring developers to use their payment channels for purchases.
Yonhap News Agency reported the Korea Communications Commission held talks with Kakao and Google last week and examined the latest payment policy after provisionally concluding it violated the nation’s laws.