Legal considerations for implementing Extended Reality (XR) technology in the shipbuilding industry: Perspectives on devices and software

This technology aims to create a virtual, fictional environment or situation that closely resembles reality and allows users to perceive and interact with visual, auditory, tactile, and other sensations as if they were in a real environment.

This technology combines virtual visuals or meaningful information with reality to enhance the user experience.

It is a technology that combines the real and virtual worlds, adding virtual information to the real environment or adding real-world information to the virtual environment, allowing users to interact with it.

It combines real and virtual worlds to provide new experiences. XR is an umbrella term that encompasses Virtual Reality (VR), Augmented Reality (AR), and Mixed Reality (MR).

The “Radio Waves Act” aims to promote the efficient and safe use and management of radio waves and the development of technologies related to radio waves, thereby contributing to the advancement of radio wave-related fields and public welfare [10]. In terms of quality certification, there are concerns about devices that may cause harm to the radio wave environment or that may be susceptible to interference from electromagnetic waves. This is referred to as a suitability evaluation for broadcasting and communication equipment. Devices that have obtained radio wave certification are relatively safe from the influence of surrounding electromagnetic waves, meet the output power and frequency criteria, and operate stably. On the other hand, uncertified devices may react sensitively to surrounding electromagnetic waves or have excessively high output power or frequencies that encroach upon adjacent unauthorized bands.

The “Electrical Appliances and Consumer Products Safety Control Act” aims to regulate the management of safety related to electrical appliances and consumer products to protect citizens' lives, bodies, and property and promote the interests and safety of consumers [11]. Accidents caused by improper design, manufacturing, use, and management pose serious issues; therefore, the law encompasses various provisions. Compliance with specific safety standards and specifications is required, and companies must evaluate and test the safety of their products to obtain safety certification. The manufacturer, model name, manufacturing date, and safety certification mark must be included, and recalls must be conducted if any issues arise with the product.

“Product Liability Act” is a law that governs the legal liability of manufacturers for damages caused by the products they have manufactured [12]. This law aims to protect consumers and ensure product safety by holding manufacturers accountable for maintaining the quality and safety of their products and preventing harm. The Product Liability Act includes key provisions related to manufacturers’ liabilities, product defects, and consumer rights. Manufacturers are legally responsible for their products, including all design stages, manufacturing, sales, and supply. They are required to ensure the safety and quality of their products and minimize the risks to consumers' lives, bodies, and property. Manufacturers are held liable for damages caused to consumers owing to product defects. They are expected to minimize their weaknesses through proper design, manufacturing, testing, and quality control processes. If a defect is discovered, manufacturers must take appropriate measures to rectify it and prevent consumer harm. The Product Liability Act protects consumer rights. Consumers can report the damage caused by product defects and seek manufacturer compensation. They have rights over the manufacturer's liabilities and procedures for claiming compensation. Under the Product Liability Act, manufacturers are responsible for consumer protection and safety. This ensures that consumers affected by product-related damages receive payments and establishes legal regulations to foster a fair market environment and ensure safe product availability.

KC (Korea Certification) is a certification process in Korea that ensures that certain products, such as electronic and information communication devices, broadcasting and communication devices, and others, comply with relevant regulations for safe use [13]. It aims to fulfill the requirements of the Radio Waves Act by ensuring compliance with radio frequency standards and preventing interference. Additionally, the Electrical Appliances and Consumer Products Safety Act prohibits the manufacturing, importing, and selling electrical and consumer products without KC certification. Obtaining KC certification for their products allows manufacturers to ensure compliance with safety standards and facilitates adherence to the Product Liability Act. This signifies that the products have undergone testing and evaluation to meet the specified safety requirements, thus contributing to consumer protection and promoting the safe use of such products in the Korean market. Manufacturers demonstrate their commitment to producing safe and reliable products that comply with Korean safety regulations by obtaining KC certifications. This ensures that consumer products meet the necessary safety standards and requirements. Additionally, KC certification simplifies the process by which manufacturers fulfill their legal obligations under the Product Liability Act, as they can demonstrate compliance with safety regulations through certification.

A wide array of equipment is utilized in shipyards, leading to numerous radio wave-related issues. Unlike specific industries, such as aviation and space, shipyards do not offer an environment where radio waves can be easily segregated and allocated within confined spaces. Consequently, challenges arise concerning the provision and utilization of frequency bands for individual pieces of equipment. Introducing XR devices in this context necessitates strict adherence to the regulations outlined in the Radio Act, including the acquisition of the requisite certifications and permits. One option is to obtain KC, which assumes responsibility for the manufactured products and ensures their safety.

However, a notable challenge arises owing to the absence of an explicit definition of XR devices in Annex 5 of the Enforcement Rules of the Electrical Appliances and Consumer Products Safety Act. As a result, XR devices may fall under categories similar to those listed under “Information, Communication, and Office Equipment” in items subject to the Supplier's Declaration of Conformity (Article 3, Paragraphs 5 and 6, and related provisions). Manufacturers and importers of XR devices can apply for certification and undergo product evaluation and testing through designated government-certified bodies. This might lead to excessive testing requirements, prompting the inclusion of XR device-specific categories in Annex 5, contingent on market viability. Therefore, XR devices used in shipyards are additionally in the area of special equipment, and if a legal basis is established to use other frequency bands, XR equipment that can only be used in shipyards is created.

Additionally, when using XR devices within a shipyard, they should not be available to anyone, even if the aforementioned legal issues are resolved and introduced. The shipbuilding industry is inherently susceptible to severe accidents [14]. Therefore, new regulations mandating mandatory training for employees who wish to use XR equipment must be established.

The Act on Consumer Protection in Electronic Commerce applies to e-commerce and other related fields, including software embedded in XR devices, to strengthen user rights and protect consumers [15]. This law clearly defines the responsibility for the safety of XR software, implying that the software must be designed without inappropriate functions or defects that could harm user security. Legal obligations may be imposed if these requirements are not satisfied. Additionally, this law protects users' personal information collected and processed using XR software. XR software often collects sensitive data, such as user movements, voice, and gaze, which must be adequately protected and used. Legal requirements must be met in all data collection and processing, with top priority given to user privacy. Software sellers must provide accurate and precise information about a product's functions, usage conditions, license terms, price, etc. This information is crucial for consumers in making informed decisions when purchasing and using a product. The provision of incorrect information that may mislead consumers is prohibited. Strong measures against illegal software usage and infringement are important. This includes preventing illegal copying, hacking, malware, and other threats to software, as well as responding appropriately when such threats occur. By doing so, XR software providers can establish a fair and secure trading environment, ensuring consumers receive trusted products and services.

“Act on Promotion of Information and Communications Network Utilization and Information Protection” (commonly referred to as the “Information and Communications Network Act” or “ICNA”) plays a significant role in the development and operation of Extended Reality (XR) software [16]. Personal information protection is a critical consideration in XR software, as it often involves collecting sensitive data such as user location, movements, and gaze. This law requires that such information be securely handled and not shared without user consent and that software developers find ways to meet these legal requirements. The XR software often provides users with various forms of content, which makes online content management an important consideration. Adequate content filtering and monitoring systems are necessary to prevent illegal content distribution and provide users with a safe and wholly XR environment. Data protection and security are also integral to XR software, ensuring the safety of user data through security protocols and encryption technologies and ensuring that information transmission through XR software is protected. Finally, because the XR software is often used for online transactions, it must provide accurate and transparent transaction information, guarantee user rights, and take appropriate measures for consumer protection.

The “Act on the Protection and Use of Location Information” is a necessary legal consideration for developing and operating Extended Reality (XR) software [17]. XR software often collects and utilizes user location data, which significantly enhances user experience. However, these location data are sensitive information that can infringe upon an individual's privacy, making it important to protect and use them appropriately. This law sets standards for collecting, using, and providing location information, and provides a robust means to protect personal location information. First, XR software developers and service providers cannot collect, use, or provide personal location information without users' explicit consent. Consent must be obtained in a specific manner and is required after a certain period. In addition, appropriate security measures must be implemented when collecting or using location information. This prevents the unauthorized access, alteration, destruction, or leakage of location information. Users must be notified immediately in the event of a leak, theft, or loss of location information. Additionally, XR software should respect and protect user privacy while providing services based on user location information. Unnecessary location information should not be collected or shared without the user's consent, and the user must be able to revoke access rights to location information at any time.

“Platform” refers to the environment of hardware or software required to run a specific software application. This environment includes the operating system, hardware type, and network infrastructure. Android refers to the underlying technological environment necessary for developing applications that can run on the Android operating system. This platform provides APIs (Application Programming Interfaces) that allow developers to implement specific functionalities, including file system management, network access, and graphics rendering. Therefore, a platform provides a foundational environment for developers to create software and for users to utilize the software.

When distributing new XR-related software applications on platforms, various issues arise, such as store policies, user consent and privacy, content filtering and monitoring, copyright protection, and regulations specific to countries and regions. The store policies include rules to maintain user privacy and ensure content safety. Sensitive aspects, such as personal data processing, content policies, payment systems, and advertising policies, are typically addressed. Apps must not collect or share personal information without the user’s consent, and distributing violent, sexual, hammable, or discriminatory content is prohibited. Moreover, the reliability of transactions through payment systems, advertising transparency, and user experience's importance are emphasized, and inappropriate or false advertisements must not be provided. These policies were designed to prioritize user safety and personal data protection.

Implementing software integrated into XR devices in the shipbuilding industry poses distinct challenges, particularly regarding communication and confidentiality between staff, officers, and orderers. These exceptional circumstances require rigorous security protocols and robust data management practices tailored to the industry's specific requirements.

From a software perspective, it is essential to emphasize the prioritization of laws related to information protection and handling of user location information within the shipbuilding sector. The unique operational environment of a shipyard, with its specific communication and data requirements, requires specialized considerations.

Furthermore, adherence to app store policies remains critical, underscoring the need to safeguard personal data and content stability within shipyards. Even if software distribution is confined within shipyard boundaries, strict compliance with the security protocols stipulated by app stores remains indispensable. These protocols are engineered to uphold the application’s integrity and safeguard users' personal information, and they must be followed diligently, regardless of the distribution scope.

Security regulations tailored to the shipbuilding industry encompass a comprehensive array of prerequisites, including data protection, encryption, authentication, secure communication, and other critical aspects that traverse the entire app development and distribution lifecycle within this specialized domain. Compliance with industry-specific regulations demands a steadfast commitment to app security and user privacy protection.

Compliance with app store regulations does not necessarily imply complete legal satisfaction when information and communication networks are used in shipyards. The complexity of shipyard operations requires a customized approach to legal compliance.

Therefore, in the process of app development and distribution within the shipbuilding industry, it is imperative to adhere strictly to regulations governing the collection, utilization, storage, provision, and disposal of personal information within the specific confines of shipyard operations. Additionally, implementing robust encryption and security protocols for safeguarding data within an app, specifically tailored to the unique demands of the shipbuilding environment, is of paramount importance.

Moreover, in light of the absence of standardized guidelines concerning data collection limitations and the protection of trade secrets related to collected videos or data within the shipyard setting, it becomes evident that specific criteria, such as infringement standards for trade secret violations, must be established within the framework of legal regulations pertinent to the shipbuilding industry. As data ownership is often governed by contractual arrangements rather than strict rules within shipyards, developing guidelines for averting trade secret infringement has become increasingly important. These guidelines may encompass the implementation of non-disclosure agreements and the cultivation of specialized personnel who are well-versed in security practices tailored to the specific needs of the shipbuilding sector.

Hence, there is a requirement to establish and oversee specific legal provisions related to business contract performance tailored to the advancement of the shipbuilding industry. This legislation may have diverse software implications. A bill that safeguards the shipbuilding sector should be passed, and if the suggested laws are incorporated into the associated laws, it could protect trade secrets held by shipyards.