{"id":104554,"date":"2025-05-27T11:56:51","date_gmt":"2025-05-27T10:56:51","guid":{"rendered":"https:\/\/routenote.com\/blog\/?p=104554"},"modified":"2025-05-27T11:56:54","modified_gmt":"2025-05-27T10:56:54","slug":"youtube-reaches-agreement-with-south-korea-over-music-bundling-investigation","status":"publish","type":"post","link":"https:\/\/routenote.com\/blog\/youtube-reaches-agreement-with-south-korea-over-music-bundling-investigation\/","title":{"rendered":"YouTube reaches agreement with South Korea over music bundling investigation"},"content":{"rendered":"\n<h2 style=\"user-select: auto;\"><span style=\"color: #3366ff; user-select: auto;\">Premium Lite launched alongside a $22 million fund to support the local music industry as part of Google Korea\u2019s deal to close antitrust investigation.<\/span><\/h2>\n\n\n\n<h3>YouTube resolves bundling concerns in South Korea<\/h3>\n\n\n\n<p>Google Korea has <a href=\"https:\/\/www.chosun.com\/english\/industry-en\/2025\/05\/23\/C5LAZXN5LJD7LE4FZH4T62ITOI\/\" target=\"_blank\" rel=\"noreferrer noopener\">reached a resolution<\/a> with South Korea\u2019s Fair Trade Commission (FTC), after it launched an antitrust investigation into the bundling of <a href=\"https:\/\/routenote.com\/blog\/free-youtube-music-distribution-2\/\" target=\"_blank\" rel=\"noreferrer noopener\">YouTube Music<\/a> with YouTube Premium. The inquiry raised concerns that YouTube\u2019s dominance in the market was unfairly hindering local streaming services. Now, the case has been closed with no financial penalties imposed on the company.<\/p>\n\n\n\n<p>The FTC had accused Google of using its powerful position in video streaming to give YouTube Music an unfair advantage over domestic music platforms like <a href=\"https:\/\/routenote.com\/blog\/how-to-distribute-music-on-melon\/\" target=\"_blank\" rel=\"noreferrer noopener\">Melon<\/a>, <a href=\"https:\/\/routenote.com\/blog\/routenote-genie-bring-your-music-to-millions-in-south-korea\/\" target=\"_blank\" rel=\"noreferrer noopener\">Genie<\/a>, and <a href=\"https:\/\/routenote.com\/blog\/routenote-partners-flo-south-korea\/\" target=\"_blank\" rel=\"noreferrer noopener\">Flo<\/a>. YouTube Premium launched in 2018, and offered users ad-free video viewing and YouTube Music in one package.<\/p>\n\n\n\n<p>After currency conversions, YouTube Premium only costs <a href=\"https:\/\/www.digitalmusicnews.com\/2025\/05\/26\/youtube-premium-lite-south-korea\/\" target=\"_blank\" rel=\"noreferrer noopener\">$2 more<\/a> than YouTube&#8217;s standalone music subscription. Coupled with the fact that 90% of Korea\u2019s population actively use YouTube, the bundle quickly attracted Korean users at the expense of local streaming services.<\/p>\n\n\n\n<p>Just two years ago, YouTube Music trailed Melon by over 2 million subscribers (4.03 million vs 6.89 million). Now, YouTube Music has <a href=\"https:\/\/routenote.com\/blog\/youtube-music-in-south-korea\/\" target=\"_blank\" rel=\"noreferrer noopener\">surged ahead of its local competitors<\/a>, with 9.79 million monthly active users. This compares to Melon\u2019s 6.01 million, Genie Music\u2019s 2.60 million, and Flo\u2019s 1.76 million.\u00a0<\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-wp-embed is-provider-routenote-blog wp-block-embed-routenote-blog\"><div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"wp-embedded-content\" data-secret=\"0Utigh2rAh\"><a href=\"https:\/\/routenote.com\/blog\/youtube-premium-lite-to-launch-in-south-korea-unbundling-music-from-its-premium-plan\/\">YouTube Premium Lite to launch in South Korea: Unbundling music from its Premium plan<\/a><\/blockquote><iframe class=\"wp-embedded-content\" sandbox=\"allow-scripts\" security=\"restricted\" style=\"position: absolute; clip: rect(1px, 1px, 1px, 1px);\" title=\"&#8220;YouTube Premium Lite to launch in South Korea: Unbundling music from its Premium plan&#8221; &#8212; RouteNote Blog\" src=\"https:\/\/routenote.com\/blog\/youtube-premium-lite-to-launch-in-south-korea-unbundling-music-from-its-premium-plan\/embed\/#?secret=0Utigh2rAh\" data-secret=\"0Utigh2rAh\" width=\"600\" height=\"338\" frameborder=\"0\" marginwidth=\"0\" marginheight=\"0\" scrolling=\"no\"><\/iframe>\n<\/div><\/figure>\n\n\n\n<h3>How YouTube responded<\/h3>\n\n\n\n<p>In response to the investigation, Google submitted a \u2018consent decree\u2019- a legal agreement allowing the case to be closed without further sanctions, as long as appropriate remedies are agreed upon. The FTC quickly accepted the proposal, prioritizing prompt action to protect local platforms from further harm.<\/p>\n\n\n\n<p>Google proposed several remedies, including:<\/p>\n\n\n\n<ul><li><strong>Launching YouTube Premium Lite in South Korea<\/strong>&#8211; a more affordable subscription that offers ad-free video but excludes YouTube Music, background play, and offline downloads.<\/li><li><strong>Creating a 30 billion won (approximately $22 million) fund<\/strong> to support South Korea\u2019s local music industry and artists.<\/li><\/ul>\n\n\n\n<blockquote class=\"wp-block-quote\"><p>\u201cA consent decree enables us to implement corrective measures more quickly, without the need for protracted legal battles.\u201d<\/p><cite>Kim Moon-Sik, Director of Market Surveillance at the FTC<\/cite><\/blockquote>\n\n\n\n<figure class=\"wp-block-embed is-type-wp-embed is-provider-routenote-blog wp-block-embed-routenote-blog\"><div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"wp-embedded-content\" data-secret=\"bgqhCMaGyg\"><a href=\"https:\/\/routenote.com\/blog\/youtube-premium-lite-expands-to-germany-thailand-and-australia\/\">YouTube Premium Lite expands to Germany, Thailand and Australia<\/a><\/blockquote><iframe class=\"wp-embedded-content\" sandbox=\"allow-scripts\" security=\"restricted\" style=\"position: absolute; clip: rect(1px, 1px, 1px, 1px);\" title=\"&#8220;YouTube Premium Lite expands to Germany, Thailand and Australia&#8221; &#8212; RouteNote Blog\" src=\"https:\/\/routenote.com\/blog\/youtube-premium-lite-expands-to-germany-thailand-and-australia\/embed\/#?secret=bgqhCMaGyg\" data-secret=\"bgqhCMaGyg\" width=\"600\" height=\"338\" frameborder=\"0\" marginwidth=\"0\" marginheight=\"0\" scrolling=\"no\"><\/iframe>\n<\/div><\/figure>\n\n\n\n<h3>Mixed industry reactions<\/h3>\n\n\n\n<p>While the FTC accepted the agreement, many in the industry have expressed disappointment that the commission has not done enough. Not only did they fail to stop Google\u2019s rise, but have also now allowed it without strong repercussions.<\/p>\n\n\n\n<p>Critics argue that the measures don\u2019t undo the competitive harm already caused, and that the introduction of Premium Lite as an alternative may do little to slow YouTube\u2019s dominance (especially given that Premium remains an attractive option for users).<\/p>\n\n\n\n<p>Instead, some believe that the Lite tier could reinforce YouTube\u2019s dominant market position by offering a cheaper, attractive subscription tier. Others suggest that the damage to local platforms has already been done, and reversing YouTube\u2019s dominance will be a major challenge.<\/p>\n\n\n\n<p>For South Korea\u2019s music industry, the $22 million fund is certainly a notable investment that will hopefully be useful. However, the long term implications of YouTube\u2019s power in South Korea\u2019s streaming landscape remain uncertain.<\/p>\n\n\n\n<hr class=\"wp-block-separator\"\/>\n\n\n\n<p class=\"has-text-align-center\"><strong><a href=\"https:\/\/routenote.com\/blog\/free-youtube-music-distribution-2\/\" target=\"_blank\" rel=\"noreferrer noopener\">Distribute your music to YouTube Music, and other streaming platforms worldwide- for free with RouteNote!<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Premium Lite launched alongside a $22 million fund to support the local music industry as part of Google Korea\u2019s deal to close antitrust investigation.<\/p>\n","protected":false},"author":47,"featured_media":104556,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[1,6628],"tags":[70,4161,10744,28137,30676,30677,30678],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v18.4.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>YouTube reaches agreement with South Korea over music bundling investigation - 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