YouTube Beats Korean Bundling Probe, Eyes Premium Lite Launch

YouTube seems to be to have resolved a bundling-focused investigation in South Korea, the place the platform reportedly intends to launch its Premium Lite subscription.

Local shops make clear the decision, which can seemingly finish a years-long Korea Fair Trade Commission (KFTC) probe. As we reported final month, the investigation centered on YouTube Premium’s music streaming market affect.

But in accordance with critics and the KFTC, this mannequin means YouTube’s leveraging its video-sharing dominance on the expense of on-demand streaming platforms. With little incentive for Premium subscribers to make the most of totally different music providers, the likes of Melon and extra have reportedly suffered materials market-share slips in recent times.

And it’s secure to say that the aggressive panorama can be compelling worldwide gamers to adapt. Having beforehand supplied solely paid plans in South Korea, Spotify embraced an ad-supported tier in October 2024.

Now, nonetheless, the YouTube Music rivals could catch one thing of a break with the rollout of Premium Lite.

Per EnterpriseKorea, the KFTC has signed off on a YouTube proposal beneath which Lite would go dwell within the nation of 52 million. Technically resurrected final 12 months, Lite prices lower than Premium however excludes Music and doesn’t afford ad-free entry to music movies on YouTube itself, to call a pair variations.

According to the identical outlet, Lite will function alongside Premium; no less than in concept, YouTube diehards would possibly migrate from Premium to Lite after which flip elsewhere for music streaming in that case inclined.

On the opposite hand, some have acknowledged the distinct chance that the cheaper plan will assist YouTube entrench its already-advantageous place in South Korea. And as described by The Chosun Daily, sure home streaming gamers are criticizing the decision as ineffective on the subject of reversing the above-outlined market-share developments.

In any occasion, this decision will additional see YouTube put up $21.89 million (₩30 billion) for a fund benefiting “consumer welfare” in addition to the South Korean music business.

Separately, the aforementioned Spotify is among the many platforms nonetheless grappling with KFTC investigations of their very own.