Complaints over abrupt service shutdowns and refund denials pile up as Google cracks down on account-sharing workarounds; Seoul urges Google to offer more pricing options for Korean users

The Seoul Metropolitan Government has warned consumers about ongoing harm caused by abrupt shutdowns of YouTube Premium account-sharing services and refusals to issue refunds. [123rf]
The Seoul Metropolitan Government has warned consumers about ongoing harm caused by abrupt shutdowns of YouTube Premium account-sharing services and refusals to issue refunds. [123rf]

A consumer identified only as A paid 65,000 won ($48) upfront for a full year of YouTube Premium through an account-sharing service, only to have the service cut off before the subscription period ended. The provider left a notice on its website saying Google's tightened sanctions had forced the shutdown, then went silent — leaving A with no refund for the remaining months.

The Seoul Metropolitan Government said Sunday that cases like A's are multiplying, with consumers suffering from abrupt shutdowns of YouTube Premium account-sharing services and outright refusals to issue refunds, and urged the public to exercise caution. The city said it is providing support through the Seoul Electronic Commerce Center and has asked Google to launch a wider range of pricing plans in South Korea to give domestic consumers more options.

The Seoul Electronic Commerce Center received 202 complaints related to YouTube Premium account-sharing services between January and August this year. The most common grievance was contract changes or non-fulfillment, accounting for 144 cases, or 71.3 percent of the total, followed by service shutdowns, closures or unresponsive operators at 33 cases (16.3 percent), and contract cancellations or refund disputes at 25 cases (12.4 percent).

By age group, consumers in their 20s and 30s accounted for 152 of the 202 complaints, or 75.2 percent. Those in their 40s filed 28 complaints (13.9 percent), followed by those in their 50s with 15 (7.4 percent) and those aged 60 and older with 7 (3.5 percent).

Account-sharing service providers have operated by adding buyers' Google accounts as family members under family plans sold in overseas markets. Google has in some cases treated this as unauthorized use of its service and terminated access.

In response, account-sharing providers shifted to signing up users through VPNs in Asian and South American countries where YouTube Premium's individual plan is cheaper than in South Korea. That workaround has also come under Google's crackdown in recent months, continuing to leave consumers without the service they paid for.

The Seoul Metropolitan Government warned consumers not to prepay for six-month or year-long subscriptions with account-sharing providers based solely on low prices, as Google's sanctions can cut off service before the promised period ends. Before signing up, consumers should check YouTube's official subscription channels and pricing plans. Those who do use an account-sharing provider should carefully review how the service is delivered, what the refund terms are if it shuts down, and the operator's business registration and contact details, the city said.

The city is also pushing for improvements to expand pricing choices for domestic users. Family and student plans are available in Japan, Taiwan and Singapore, and Taiwan also offers a two-person plan for members of the same household. South Korea has access to YouTube Premium Lite, but options tailored to different user circumstances — such as family or student plans — remain limited.

The Seoul Metropolitan Government said it has notified Google of the ongoing consumer harm caused by account-sharing services and asked the company to consider launching a broader range of pricing plans so that Korean consumers can use the service without worrying about sudden shutdowns.

Meanwhile, Google has repeatedly raised the price of YouTube Premium since introducing the monthly subscription service in South Korea in 2016. The repeated increases have prompted lawmakers in the National Assembly to propose a bill that would require OTT platforms such as YouTube and Netflix to submit the basis for any price increases to the government.

"As OTT services — which have become essential media replacing traditional outlets like television — keep raising their subscription fees, we need to make sure consumers trying to save on those costs do not end up worse off because of service shutdowns," said Lee Yeon-hwa, head of the Seoul Metropolitan Government's Fair Economy Division. "We will continue supporting consumers with complaint counseling while monitoring new types of consumer harm emerging in online transactions, and work to prevent damage and protect consumers."


ikson@heraldcorp.com