Seoul, July 15 Google plans to launch a standalone premium subscription plan for YouTube video streaming without the music streaming component in South Korea, as part of a voluntary corrective measure to address its alleged anti-competitive practice, the country's antitrust regulator said on Tuesday.
The standalone product, dubbed YouTube Premium Lite, will be nearly half the price of that of the currently existing YouTube Premium plan, which bundles both video and music streaming features, according to the Fair Trade Commission (FTC), reports Yonhap News Agency.
Android users can subscribe to YouTube Premium Lite for 8,500 won (US$6.15) per month, while the monthly price for iOS users was set at 10,900 won, the FTC said, noting the prices are cheaper compared with equivalent YouTube subscription plans in six other countries, including the United States and Britain.
The new subscription plan was proposed as Google's corrective action plan to address its anti-competitive practice of bundling YouTube Music with the video streaming platform's ad-free premium subscription service.
Following Google's launch of such a product in 2020, the FTC began an investigation into the U.S. tech giant's alleged violation of Korea's fair trade rules in 2023.
The FTC has accused Google of effectively forcing consumers to subscribe to both services, limiting options for those who may have only wanted access to ad-free video streaming, thereby restricting consumer choice and abusing its market dominance.
Rather than pursuing a prolonged legal battle, Google has submitted a corrective action plan of launching the standalone video streaming subscription plan under the FTC's procedure known as a "consent decision." The mechanism allows the FTC to suspend its investigation if the company voluntarily proposes measures that address the alleged consumer harm.
The FTC said it plans to collect opinions from relevant ministries and stakeholders over a 30-day period until Aug. 14 before making a final decision on whether to accept Google's proposal.
If the FTC endorses the proposal, Google plans to launch the YouTube Premium Lite plan within the end of this year.
Under the proposal, Google said it will freeze the price for YouTube Premium Lite and YouTube Premium for at least one year to lower the financial burden on its users.
The U.S. company also said it will create a 15 billion-won fund to support the growth of the Korean music industry by discovering new artists and helping their participation in overseas music festivals.
Disclaimer: This post has been auto-published from an agency feed without any modifications to the text and has not been reviewed by an editor