1. Reason for enactment
The Metaverse Industry Promotion Act was enacted to mandate the provision of systematic support to the virtual convergence industry and to improve the related regulations (Law No. 20352, promulgated on Feb. 27, 2024, implemented on Aug. 28, 2024). Therefore, the proposed Enforcement Decree seeks to define the matters that are delegated by the Act and those necessary for its implementation, including those related to the development of master and implementation plans, the metaverse platform services subject to declaration, the procedures for proposing and preparing temporary standards, and the types of disputes for which resolution procedures should be provided.
2. Main contents
a. Development of master and implementation plans (Articles 2 and 3 of the Draft)
The Enforcement Decree defines the procedures and other related matters for the Minister of Science and ICT to develop master and yearly implementation plans for promoting the metaverse industry.
b. Targets and method of survey (Article 4 of the Draft)
The Enforcement Decree stipulates that the Minister of Science and ICT may conduct fact-finding researches of the current status of the metaverse industry and discovery of regulatory improvement tasks against the metaverse service operators, related institutions, organizations, associations, etc.
c. Declaration of metaverse platform services (Article 5 of the Draft)
The Enforcement Decree stipulates that those who fall under any of the following cases must report to the Minister of Science and ICT: those whose annual sales through their metaverse platforms exceed KRW 100 million, whose annual transaction amount exceeds KRW 1 billion, or whose average monthly number of active users in the last three months as of the end of the previous year exceeds 1,000.
d. Training or development of specialist personnel (Articles 6 and 7 of the Draft)
The Enforcement Decree also provides statutory grounds for the government to promote services related to the training of specialists, including its support for the development of programs and textbooks necessary for their development or training, support for education, training, and research, and the discovery and attraction of excellent professional personnel from overseas. It also stipulates matters related to the institutions which the Minister of Science and ICT may designate as universities (universities, graduate schools, and university-affiliated research institutes) specializing in the metaverse industry, as well as the procedures, etc. for their designation.
e. Promotion of technology development (Article 8 of the Draft)
It stipulates matters concerning the selection of entrusted entities when the government intends to entrust projects or services to promote the development and advancement of metaverse technologies.
f. Support for standardization (Article 9 of the Draft)
The Enforcement Decree specifies the scope of support to be given to standardization projects, including the cost of enacting, revising, abolishing, and disseminating the standards.
g. Designation and operation of dedicated entities (Article 10 of the Draft)
The Enforcement Decree stipulates that the Minister of Science and ICT may designate the Korea Information and Communication Industry Promotion Agency, Korea Radio Promotion Association, etc. as dedicated entities to promote its policies for promoting the metaverse industry effectively. It also stipulates that the dedicated entities may carry out projects or services, such as fostering specialist personnel for the metaverse industry, and supporting start-ups, etc.
h, Organization of an association (Article 11 of the Draft)
The Enforcement Decree stipulates the documents, procedures, etc. which the operators of metaverse platforms must submit to the Minister of Science and ICT when organizing their association.
i. Regional metaverse industry support centers (Article 12 of the Draft)
The Enforcement Decree specifies the requirements, procedures, etc. for obtaining designation as a metaverse industry support center designed to support the promotion of the metaverse industry by region.
j. Support for metaverse service operators (Article 13 of the Draft)
The Enforcement Decree specifies that the central and local governments provide administrative and financial support for metaverse service operators, including information provision and counseling on funds, manpower, and technology, as well as providing spaces necessary for business operation.
k. Implementation of and support for pilot projects or services (Article 14 of the Draft)
The Enforcement Decree stipulates that the head of a central administrative or local government should develop an implementation plan that includes the purpose and implementation system of the pilot project when implementing a pilot project. It also specifies the contents support to be given to those participating in such pilot projects, while it stipulates that the performance should be assessed within one year from the date on which a pilot project is completed.
l. Assessment of the impact of metaverse platform or service projects (Article 15 of the Draft)
When national institutions, local governments, public institutions, etc. carry out projects related to the development of metaverse platforms or services, the Enforcement Decree stipulates that they should conduct an assessment to analyze the impacts of such projects on the civilian market before announcing the tender. However, they should exclude from the types of services subject to the impact assessment those projects for which a civilian business operator should not provide the metaverse service related to national security, public security, diplomacy, etc.
m. Proposal and development of temporary standards (Articles 16 to 18 of the Draft)
The Enforcement Decree specifies the documents that must be submitted to the Minister of Science and ICT when associations and the operators of a metaverse service propose temporary standards. It also stipulates that the head of the relevant central administrative agency should prepare or improve the temporary standards by considering the ripple effect on the metaverse industries and related industries, user convenience, safety, and risks.
n. Development of dispute resolution procedures (Article 19 of the Draft)
The Enforcement Decree stipulates that those who fall under any of the following cases must develop procedures for resolving disputes between users and operators and disputes among users: those whose annual sales through their metaverse platforms exceed KRW 1 billion, whose annual transaction amount exceeds KRW 10 billion, or whose average monthly number of active users in the preceding three months exceeds 10,000.
