Republic of Korea: Issued ruling in FTC Investigation into Coupang for Search Ranking Manipulation

On 13 June 2024, the Korean Competition Authority issued a ruling in its investigation into the manipulation of search rankings, known as 'Coupang Ranking', by Coupang, Inc. and its subsidiary CPLB, Inc. The investigation found that the companies engaged in deceptive practices by artificially placing their own products at the top of search results, irrespective of sales volume or other objective data, and by creating fake reviews and high ratings through employee involvement. This conduct was determined to mislead consumers into purchasing Coupang's products over those of other sellers on its platform, thereby violating the national anti-competitive agreements regulation. The authority imposed a corrective order along with a provisional fine of KRW 140 billion (approximately USD 117 million) and referred Coupang, Inc. and CPLB, Inc. to the prosecution for further legal action.