S. Korea Approves Google Map Data Export with Conditions

South Korea Reverses Policy on Google Map Data

South Korea's Ministry of Land, Infrastructure and Transport has approved Google’s request to export high-precision map data, a significant policy reversal after nearly two decades of rejections. The approval is contingent on strict security requirements aimed at protecting national security.

Overview of the Market Shift

For years, Seoul denied Google's requests on national security grounds, citing risks related to North Korea. This allowed local companies like Naver and Kakao to dominate the digital mapping services market. The new decision allows Google to introduce full-featured services, such as Google Maps and Google Earth, clearing the way for the tech giant to compete in the previously restricted market.

Economic and Competitive Impact

This approval will intensify competition in South Korea's digital services sector. Google's entry is expected to challenge the market share of incumbents Naver and Kakao. The key conditions for the approval include blurring military facilities, processing data on local servers, and exporting only government-pre-approved data for navigation, which may create operational hurdles but ultimately opens the market.

Summary and Future Outlook

The decision marks a major development for global tech firms seeking access to the South Korean market. While Google gains a significant opportunity, it must adhere to a strict security framework, including establishing an emergency response system. The market will be watching how local competitors respond and how Google's expanded services impact the digital landscape.

FAQ

Q: Why did South Korea previously deny Google's request?
A: The government cited national security risks, specifically the potential for detailed map data to expose sensitive military facilities in a country still technically at war with North Korea.

Q: What are the main conditions for the approval?
A: Google must blur sensitive security locations, process map data on locally-based servers, and only export government-pre-approved navigation and direction data.

Source: Investing.com