South Korea Accuses Google of Abusing Android App Store Dominance

South Korea's antitrust regulator alleged that Alphabet's Google abused its dominant position in the Android app marketplace to hinder competition and said it would recommend corrective measures and financial penalties, Reuters reported.

South Korea's antitrust regulator is investigating Google's app store practices over allegations of anti-competitive conduct. (Photo: Google)

The Korea Fair Trade Commission's (KFTC) Market Surveillance Bureau said Google's alleged abuse of market dominance in the Android app marketplace affected 14.16 trillion won (about $9.1 billion) in revenue.

According to the examiner's report, Google's Games/Google Velocity Program—internally known as "Project Hug"—provided financial support to domestic and overseas game developers from July 2019 through March 2026.

The incentives encouraged developers to use Google's services, including Google Cloud, Google Ads, and YouTube, provided they launched games on the Google Play Store under terms at least as favorable as those offered on competing app marketplaces.

The KFTC said the arrangement may have restricted fair competition in South Korea's mobile app ecosystem.