Latest News: Japan Enacts Regulatory Law that targets Apple and Google Smartphone Marketplace Dominance -
Japan has become the latest country to enact regulatory laws that target companies like Apple Inc. and Google LLC from limiting third-party businesses that wish to market and distribute their own applications on Google as well as Apple devices.
According to Kyodo News, "The law will prohibit the providers of Apple's iOS as well as Google's Android smartphones operating systems, app stores and payment platforms from preventing the sales of applications and services that directly compete against the native platform's." This is in order to keep the providers of platforms out of "gatekeeping" while also forcing more competition between their own apps and others on the platforms.
The current Japan antimonopoly law imposes fines of 6% on revenues gained through anticompetitive practices. The sanctions in the new, particular law amount to 20% on domestic revenues generated from services that violate the provisions of this law, increasing to 30% if the violations aren't stopped.
The new law is expected to become effective by the end of 2025 The law, as Kyodo News points out is like one of EU's recent regulations (presumably it's the Europe's Digital Markets Act).
Kyodo News also reports that both Apple and Google released announcements regarding their ongoing involvement with Japanese regulators.
The earlier report from Kyodo News regarding the regulation which was passed first by Japan's Cabinet stated that it had voted to approve the regulation as "a attempt to challenge the duopoly exerted by two industry majors Apple Inc. as well as Google LLC," and that this regulation shows the Japanese government's intention to join with the EU by enacting further rules "of Big Tech firms such like Apple, Google and Amazon.com Inc., which are now able to exercise significant influence over digital services around the world."
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