Authorities Diplomatic Efforts to Forestall Discriminatory Measures Towards Naver in Line Yahoo Possession Dispute Resurface in Response to Japanese Strain

In response to strain from the Japanese authorities to alter its curiosity in Line Yahoo, a three way partnership between Naver and Japan’s Softbank, the Ministry of International Affairs met with the Japanese Embassy in Korea and expressed its opinion that no discriminatory measures needs to be taken. In contrast to the start of the incident, plainly the federal government is responding to Japan’s measures, however some level out that it’s too late.

On the seventeenth, the Ministry of International Affairs mentioned, “On the morning of the seventeenth, Second Vice Minister of International Affairs Kang In-seon had a gathering with Taisuke Mibae, Chief Attaché (Performing Ambassador) of the Embassy of Japan in Korea, and gave he supplied concepts on methods to advertise Korea-Japan financial cooperation and the Japanese authorities’s administrative steering for Yahoo Line.” he mentioned.

The Ministry of International Affairs mentioned, “Relating to the Japanese authorities’s administrative directions for Yahoo Line, Deputy Minister Kang reiterated our authorities’s sturdy place that there needs to be no unfair discriminatory measures in opposition to Korean firms that conduct financial actions in Japan, and that Naver is not going to be managed. to any unfavorable state of affairs or exterior externality.” “We requested the Japanese authorities for particular curiosity and warning in order that honest and unbiased selections may be made with out strain.”

The Ministry of International Affairs mentioned, “As well as, the 2 sides exchanged views on methods to advertise substantial cooperation within the financial subject of the 2 international locations, and can proceed to pursue actions based mostly on mutual belief sooner or later, together with protecting Korea. – Japan’s Excessive-Degree Financial Session’ throughout the 12 months, which began final 12 months for the primary time in about eight years.” “We determined to speak intently to additional develop our cooperative relationship,” he mentioned.

Within the early days when the strain on Line Yahoo’s change of possession got here to mild, the Ministry of International Affairs mentioned, “Our place is that there needs to be no discriminatory measures in opposition to our firm,” however added, “It’s “A very powerful factor is to substantiate the place of Naver, the corporate concerned. If needed, we intend to speak with the Japanese facet.”

Then, as criticism of the federal government’s response mounted, the Workplace of the President issued an announcement on the thirteenth, saying, “If Naver is ready to keep the shares and enterprise of Line Yahoo, we’ll present most help to make sure applicable data safety strengthening measures. are taken.” The subsequent day, the 14th, he expressed a barely stronger place, saying, “If applicable measures are put in place to strengthen data safety, the Japanese authorities mustn’t take unfavorable measures to take which is in opposition to Naver’s want when it comes to capital construction.”

Then, on the fifteenth, the Workplace of the President reaffirmed that the executive administration report that Yahoo! Line should undergo the Japanese authorities by July 1 didn’t embody data on associated to adjustments in shares. Nonetheless, it was additionally made clear that if Naver sells its shares, it can’t be prevented.

In contrast to in the beginning of the incident, the federal government is making efforts to resolve the state of affairs by speaking with the Japanese authorities authorities, however some argue that the state of affairs wouldn’t have worsened if the 2 governments have responded shortly from the beginning.

Kim Yang-hee, a professor within the Division of Finance and Economics at Daegu College, who gave a vital dialogue held on today by the Diplomatic Sq., Fatherland Innovation Occasion, and Discussion board Korea-Japan peace on the Nationwide Meeting Corridor underneath the theme ‘Diplomacy with Japan, asking for a giant change,’ he mentioned in April, Japanese private data When a member of the Protection Committee despatched an e-mail to a member of the Korea Private Info Safety Fee , it was anticipated that if that they had responded collectively, the state of affairs wouldn’t have escalated to the extent it’s now.

Strain from Japan’s Ministry of Inside Affairs and Communications to alter shares started final November when a line breach led to the discharge of about 510,000 circumstances of private data. It’s recognized that Japan’s Ministry of Inside Affairs and Communications claimed that Naver Cloud in Korea is accountable for this and that the administration construction needs to be modified to resolve the issue.

Accordingly, final April, an worker of Japan’s Private Info Safety Fee despatched an e-mail to an worker of Korea’s Private Info Safety Fee and requested if the Korean Fee had ever investigated Naver Cloud and the way Korea would react if Japan requested an investigation right into a report that was not answered.

On the 14th, Private Info Safety Committee Chairman Ko Hak-soo mentioned at a press convention, “I believed it was uncommon {that a} (Japanese) worker despatched an e-mail in an informal tone, ” and he mentioned, “If it was a typical incidence. , I’d have been in a position to reply, however because the case was a matter of nationwide concern, I believed it was uncommon. ” “We’ve got not responded presently as a result of we consider {that a} session course of with different ministries is important,” he mentioned.

On this regard, Professor Kim mentioned, “The state of affairs worsened as a result of the 2 governments didn’t reply correctly, and Naver was additionally unable to arrange its state of affairs. I’m wondering if the state of affairs would have reached this level if we had responded and talked collectively in April. “As a result of we can not reply shortly and precisely, we’re speaking about humble diplomacy,” he mentioned.

He mentioned, “In Might 2023, the Korean Ministry of Science and ICT and the Japanese Ministry of Inside Affairs and Communications agreed to determine a ‘Korea-Japan Digital Coverage Discussion board.’ He mentioned (Deputy Minister stage), ‘Korea and Japan are democratic international locations in East Asia and companions with trendy know-how. each international locations have didn’t implement this spirit correctly,” he mentioned.

Professor Kim mentioned, “If there was no intention to discriminate in opposition to Korea, because the Japanese authorities claims, this challenge was resolved by contemplating the 2023 Camp Dive Declaration by the leaders of Korea , the US, and Japan and the present authorities state of affairs. when it comes to pushing for ‘half cup diplomacy’ regardless of sturdy criticism in Korea think about the poor safety of Naver in Korea with the actions of the Japanese authorities as effectively.

Professor Kim mentioned, “Japan’s Ministry of Inside Affairs and Communications should absolutely clarify why they consider the sale of shares is linked to the strengthening of Yahoo Line’s safety,” and added, “If the Japanese authorities needed to absolutely think about the sensitivity and variability of this case, it will not have gone so arduous.

He mentioned, “If Naver was not in opposition to the sale of shares and will promote it based mostly on administration judgment, it may have accomplished so, however this case is already within the palms of the person firm referred to as Naver to depart The sale in response to plan should not occur, and there should be adequate session with shareholders, staff and shoppers,” he mentioned.

Professor Kim continued by saying, “On the authorities stage, we now don’t have any alternative however to take accountability for explaining to the folks,” and added, “It’s the accountability of the federal government to make sure that Japan isn’t seen as being humble diplomacy.”

Lawyer Jeon Soo-jin, who attended the talk immediately, mentioned that Article 14 of the Korea-Japan Funding Settlement states, “If one contracting social gathering requests, we’ll promptly talk about issues referring to the decision of disputes associated to this Settlement. , the interpretation and implementation of this Settlement, or the achievement of its function.” He mentioned that the federal government can reply first when a dispute between an investor and the state is predicated on “negotiation,” and that the Korean authorities’s response to – potential.

Lawyer Jeon mentioned, “The federal government’s response to this case in accordance with the Korea-Japan Funding Settlement isn’t solely a authorized process in response to the treaty, but additionally a pure diplomatic response to assist home firms that shield abroad work and keep technological superiority,” including, “The federal government has been reluctant to behave.” It was reported that there was an issue with the reply.

He emphasised, “There are elements of Korea which are complacent in the case of dealing with private data. However does that imply they’re forcing firms to promote their shares due to that drawback? We have to concentrate on whether or not there’s a proportionality between the 2. “

On the identical time, Professor Dae-gyun Yoon of Ajou College, who attended the talk that day, predicted that it will not be simple for Softbank Line Yahoo to function independently. Professor Yoon defined, “Line Yahoo’s know-how dependence on Line Plus is full, and a big infrastructure for firm operations, together with Line Yahoo’s inner system, depends on Naver Cloud. “

Professor Yoon mentioned, “Line is definitely the primary stage firm in Korea to enter the abroad market, and based mostly on this, it has even succeeded in coming into world markets akin to Southeast Asia. ” He mentioned, “It’s fascinating for Naver the “However, it’s fascinating to keep up the established order for now. “

Nonetheless, he mentioned, “If Softbank’s efforts to manage the corporate proceed, this should be resolved by way of an affordable contract between firms. “We additionally should be cautious about influencing Naver’s selections,” he mentioned, “I feel Naver can promote its shares at will.

Professor Yoon mentioned that some folks see this occasion as an “train in technological superiority,” however since Line Yahoo is a Japanese firm with a 50% stake in Softbank, “the occasion should this needs to be resolved as a matter of belief in Korean know-how.” He suggested.