App Store iconSource: iMore

What you need to know

  • Apple has told South Korean authorities that it will offer an alternative App Store payment system.
  • Apple's second payment system will include a cut lower than the 30% it currently charges.
  • No details on the size of Apple's cut or a timeframe for the new system's rollout were given.

Apple has told South Korean authorities that it will provide an alternative payment system for App Store developers as part of local law compliance. Apple stopped short of saying when the new system will be available in documentation provided to the Korea Communications Commission.

According to a report by The Korea Herald, the plans include a surcharge of lower than the current 30% cut Apple takes from App Store transactions. There's no word on exactly what the new cut will be or how it will work, however.

Apple said it plans to provide an alternative payment system at a reduced service charge compared with the current 30 percent charge, as the tech giant turned in its compliance plans to the Korea Communications Commission (KCC).

"We look forward to working with the KCC and our developer community on a solution that benefits our Korean users," Apple said in a statement to local news, going on to say that it "has a great deal of respect for Korea's laws and a strong history of collaboration with the country's talented app developers. Our work will always be guided by keeping the App Store a safe and trusted place for our users to download the apps they love."

The KCC had previously told Apple that it would face a fine if it continued to prevent third-party payment options from being offered via the App Store.