Google Faces Another Tussle in Korea -- WSJ
August 13 2016 - 3:03AM
Dow Jones News
By Jonathan Cheng
SEOUL -- South Korea is again considering whether Google is
violating antitrust laws, the country's Fair Trade Commission
said.
The issue appears to revolve around the preloading of Google
apps on smartphones powered by Google's Android operating system, a
matter on which the company had been cleared in a 2013
investigation. The concern is that the preloading puts competing
apps and services at a disadvantage with phone users.
The latest review, first acknowledged in a statement Friday,
represents a new headache for Google restrictions on exporting
digital map dataparent company Alphabet Inc. in a key Asian
market.
Google and South Korea's government were already facing off on
other fronts. In recent weeks, Seoul has been weighing Google's
request to lift restrictions on exporting digital map data that
Google says limits its Maps service in the country.
After several months of intense lobbying, the government has
delayed a final decision, leaving Google's mapping services more
limited in South Korea than in neighboring China and even North
Korea, according to Google.
At a panel discussion hosted by the government this week, local
competitors expressed opposition to Google's request, arguing that
the Mountain View, Calif.-based company doesn't pay its fair share
of taxes and is seeking to flout South Korean laws.
A Google spokeswoman said the company follows local tax laws in
every country in which it operates. She declined to comment on the
Fair Trade Commission investigation.
Separately, authorities here are investigating Google's top
executive in South Korea, John Lee, as part of a widening probe
into a series of deaths allegedly caused by humidifier
disinfectants manufactured by Reckitt Benckiser Group PLC's Oxy
unit. Mr. Lee was Reckitt's South Korea head during the period when
many of the deaths occurred.
In 2011, the Korea Centers for Disease Control and Prevention
linked an ingredient in the disinfectant to potentially fatal lung
injuries, and Reckitt recalled the products. In May, Reckitt said
for the first time that it accepted responsibility for having sold
the disinfectant, saying that it would "do the right thing for the
victims and their families."
Mr. Lee was indicted by government prosecutors last month. The
Google spokeswoman declined to make him available for comment.
Write to Jonathan Cheng at jonathan.cheng@wsj.com
(END) Dow Jones Newswires
August 13, 2016 02:48 ET (06:48 GMT)
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