YouTube Resolves Bundling Investigation in South Korea — Reported Agreement Includes Premium Lite Launch and $22 Million Music Industry Fund

A nighttime shot of Seoul, South Korea. Photo Credit: Yohan Cho

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

Local outlets shed light on the resolution, which will seemingly end a years-long Korea Fair Trade Commission (KFTC) probe. As we reported last month, the investigation centered on YouTube Premium’s music streaming market impact.

At present, Premium (offering ad-free access to YouTube proper and Music) is available for $10.87/₩14,900⁠ per month in South Korea, where close to 90% of the population actively uses YouTube. That’s compared to $8.75/₩11,990⁠ per month for Music, and unsurprisingly, many have opted to pay the extra $2 monthly for across-the-board viewing without ads.

But according to critics and the KFTC, this model means YouTube’s leveraging its video-sharing dominance at the expense of on-demand streaming platforms. With little incentive for Premium subscribers to utilize different music services, the likes of Melon and more have reportedly suffered material market-share slips in recent years.

And it’s safe to say that the competitive landscape is also compelling international players to adapt. Having previously offered only paid plans in South Korea, Spotify embraced an ad-supported tier in October 2024.

Now, however, the YouTube Music rivals may catch something of a break with the rollout of Premium Lite.

Per BusinessKorea, the KFTC has signed off on a YouTube proposal under which Lite would go live in the nation of 52 million. Technically resurrected last year, Lite costs less than Premium but excludes Music and doesn’t afford ad-free access to music videos on YouTube itself, to name a couple differences.

According to the same outlet, Lite will operate alongside Premium; at least in theory, YouTube diehards might migrate from Premium to Lite and then turn elsewhere for music streaming if so inclined.

On the other hand, some have acknowledged the distinct possibility that the cheaper plan will help YouTube entrench its already-advantageous position in South Korea. And as described by The Chosun Daily, certain domestic streaming players are criticizing the resolution as ineffective when it comes to reversing the above-outlined market-share trends.

In any event, this resolution will further see YouTube put up $21.89 million (₩30 billion) for a fund benefiting “consumer welfare” as well as the South Korean music industry.

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

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