▶주메뉴 바로가기

▶본문 바로가기

The Korea Herald
검색폼

THE INVESTOR
March 29, 2024

Mobile & Internet

Google vs. Naver rivalry heats up

  • PUBLISHED :November 02, 2017 - 16:41
  • UPDATED :November 02, 2017 - 17:38
  • 폰트작게
  • 폰트크게
  • facebook
  • sms
  • print

[THE INVESTOR] Google and Naver are locked in a bitter war of words over business ethics.

On Nov.2, Google refuted claims made by Naver founder Lee Hae-jin that companies like Google and Facebook neither pay taxes nor hire local employees, despite raking in huge profits in Korea. He also hinted that Google may be tampering with its news tabs --- an accusation that Naver is facing. 




“News arrangement on the Google news platform is 100 percent based on algorithms and, therefore, is done in a transparent and fair manner,” Google said in a statement. The company also said it pays taxes in compliance with the tax code and treaty between Korea and the US, and hires hundreds of employees, including engineers, sales and marketing staff. The company, however, did not reveal the amount of taxes it has paid.

“Google, which puts priority on its users more than anything else, has been making contributions to the Korean economy, helping partners to go to the global markets and to achieve innovation through Google’s various services and platforms,” the US internet firm said.

Earlier this week, the Naver founder -- who now serves as the firm’s global investment officer -- was questioned at the National Assembly over latest findings showing the search portal had manipulated its news tabs to push out controversial stories at the request of those involved. He was also grilled about his company’s monopoly in the local web search and online advertisement markets. 




During the sessions, Lee complained about the flak Naver was receiving while rivals like Google were not exactly running a transparent business.

“Google only looks relatively cleaner because it has a smaller market share here,” he said.

Lee added that the local internet and ad markets would be completely overrun by global internet behemoths if not for Naver.

This is not the first time Naver and Google have been duking it out in Korea. Top Naver executives have often criticized the US firm for enjoying special favors in Korea in terms of regulations including taxation.

By Kim Young-won (
wone0102@heraldcorp.com)

EDITOR'S PICKS