South Korea’s Antitrust Chief Backs Stronger Rules for Digital Platforms

Ju, who is widely regarded as a key architect of President Lee Jae Myung’s economic agenda, also criticized the country’s current penalties for unfair business conduct as insufficient. Per a statement delivered during a public policy discussion, he expressed support for tougher financial sanctions, including the administration’s push to impose heavy fines on e-commerce giant Coupang following a large-scale data breach that reportedly affected about 34 million users.

The remarks were shared at a policy dialogue hosted by the American Chamber of Commerce in Korea to address fair trade issues in the digital era. The event followed a closed-door meeting between Ju and AMCHAM officials last month. According to a statement from the discussion, Ju stressed that the commission adheres to a principle of non-discrimination, ensuring foreign firms are not subject to unfair treatment or unnecessary regulatory hurdles.

His comments were consistent with commitments outlined in the Korea-U.S. Joint Fact Sheet, which notes Seoul’s pledge to ensure U.S. companies are not disadvantaged by laws or policies related to digital services, network usage fees, or online platform regulations. At the same time, per a statement from Ju, regulation itself should not be viewed solely as a constraint, but as a mechanism that can foster innovation when applied appropriately.

“Due to the super network effect, we eventually have only a few platforms dominating the global market,” Ju said. “Regulation against excessive monopolistic power should be implemented, and that will promote competition and incentivize innovation.”

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To illustrate his point, Ju pointed to global technology firms that expanded beyond their original business models. He cited Google’s move into streaming services and artificial intelligence, as well as Microsoft’s integration of AI into its operating system business, according to a statement made during the session.

“Basically, we would like to support legislative discussions related to the digital market,” Ju said. “Currently, we have active legislative discussions at the National Assembly.”

Ju also outlined the Lee administration’s broader policy direction, which favors stronger economic sanctions over criminal prosecutions when addressing unfair trade practices. Per a statement during the dialogue, he argued that financial penalties in South Korea lag behind those imposed in other advanced economies.

“Economic penalties in Korea are relatively mild compared with other developed countries, such as those in the European Union or Japan,” Ju said. “We have to enhance penalty levels.”

During a question-and-answer session that followed his presentation, Ju reaffirmed his support for regulation when asked about potential exemptions for taxi-hailing platforms. Responding to a question from Uber’s in-house counsel, he said the Fair Transactions in Franchise Business Act remains necessary to protect taxi drivers from unilateral contract terminations by platform operators, according to a statement summarizing his remarks.

Source: Korea Times