Information: Japan Enacts Regulatory Law that targets Apple as well as Google Smartphone Marketplace Dominance -
Japan has become the latest country to enact regulatory laws that target companies like Apple Inc. as well as Google LLC from limiting third-party firms that are seeking to distribute and monetize their own apps on Google as well as Apple devices.
According to Kyodo News, "The law prohibits the developers of the Apple's iOS as well as Google's Android smartphones operating systems, app stores as well as payment systems from hindering the sale of apps or services directly competing with native platforms' own." This is to keep the providers of platforms out of "gatekeeping" as well as causing to create more competition between their apps and others on the platforms.
While Japan's existing antimonopoly law imposes fines of 6% on revenues gained through anticompetitive practices. The sanctions in the new, more specific law are 20% on domestic revenues generated from services that violate the provisions of this law, increasing to 30% if illegal practices continue to exist.
The new law is anticipated to take effect in 2025 The law, as Kyodo News points out is similar to one of the EU's recent regulations (presumably it's the Europe's Digital Markets Act).
Kyodo News also reports that both Apple and Google released statements regarding their ongoing engagement to Japanese regulators.
An earlier article from Kyodo News regarding the regulation that was first approved by Japan's Cabinet described its approval of the rule as "a step to challenge the duopoly exerted by industry bigwigs Apple Inc. and Google LLC," and said that the regulation demonstrates the Japanese government's determination to work with the EU when it comes to enacting laws "of Big Tech firms such as Apple, Google and Amazon.com Inc., which are now able to exercise considerable influence over the digital world all over the world."
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