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Joo Byeong-ki, Chairman of the Korea Fair Trade Commission (Photo: Yonhap News) |
[Alpha Biz= Kim Jisun] Joo Byeong-ki, Chairman of the Korea Fair Trade Commission (KFTC), said on the 30th that the commission will “actively review whether Coupang qualifies as a market-dominant business operator.”
Speaking at a joint National Assembly hearing on Coupang’s recent personal data breach, Chairman Joo noted, “Coupang’s market share has changed significantly over the past five years and has now increased considerably,” adding that this warrants close scrutiny.
Under Korean competition law, a company may be designated as a market-dominant operator if it holds a market share of 50% or more, or if the combined market share of the top three companies exceeds 75%. Coupang has not previously met these formal criteria. However, Chairman Joo emphasized that even without meeting these thresholds, a company may still be deemed market-dominant based on a comprehensive assessment.
He also said that the Fair Trade Commission has completed drafting a review report—equivalent to a prosecutorial indictment—regarding Coupang’s alleged tying practices, and that deliberations will begin soon.
The FTC has been investigating whether Coupang engaged in illegal tying by bundling multiple services, including Coupang, Coupang Eats, and Coupang Play, under its paid “Wow Membership.”
This case draws comparisons to Google’s previous bundling of YouTube Music, for which the company avoided penalties by introducing a new “YouTube Premium Lite” plan that allows ad-free viewing without music streaming. Google also committed to a ₩30 billion (approximately USD 22 million) mutual growth package to support consumers, the domestic music industry, and content creators.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
