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Apple volunteers to take corrective actions in South Korea

By Anton D. Nagy July 4, 2019, 6:00 am

South Korea’s Fair Trade Commission started its dispute with Apple back in 2016 by raiding the iPhone-maker’s offices, leading to an examination report sent to Cupertino in 2018. The FTC accused Apple of unfair trade practices, namely unfairly passing the costs of its iPhone sales to local mobile carriers, the Korea Herald writes.

According to the watchdog, Apple filed a consent order on June 4, making its intentions clear to close out the process early, by volunteering to take corrective actions.

(Apple) appears to have chosen the more economical option between continuing legal battles to the end — going to the Supreme Court — and an early compromise with the FTC — Song Sang-min, chief of the FTC’s anti-monopoly bureau

While no further details of the consent order were made public, the FTC did mention that usually these imply two categories of corrective actions: 1. the company agrees to put an end to its unfair practices and restore order to the market, and 2. the company agrees to rectify the harm it has caused to other companies and consumers.

There will be a hearing where the consent order will be analyzed. If it will be rejected, Apple is looking at a 2 percent fine of the concerned sales. “Apple has faced similar penalties in other nations — 700 million won ($620,000) in Taiwan in 2013 for controlling iPhone costs, and 64 billion won in France last year over unfair practices against carriers“, the Korea Herald writes.

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