News: Japan Enacts Regulatory Law that will target Apple and Google Smartphone Market Dominance
Japan is the most recent country to adopt a regulation law that targets businesses like Apple Inc. along with Google LLC in restricting third-party businesses who want to market and distribute their own apps for Google and Apple devices.
In the words of Kyodo News, "The law will prevent the developers of Apple's iOS as well as Google's Android smartphone operating systems, stores for apps, and payment platforms from hindering the sale of apps and other services that compete directly against the native platform's." This is to prevent the platform providers from "gatekeeping" while also forcing to create more competition between their apps and others on other platforms.
The existing Japan antimonopoly law imposes fines of up to 6% on profits generated by anticompetitive tactics. The penalties in this new law are more precise. They're 20% of the income earned by the government from services in breach of this law. It will increase to 30% if unlawful methods continue to prevail.
The law is anticipated to be in effect at 2025's end, that, as Kyodo News points out is similar to one of the EU's recent regulations (presumably it's the European Union's Digital Markets Act).
Kyodo News also reports that both Apple as well as Google made announcements about their continued involvement with Japanese regulators.
The previous report by Kyodo News regarding the regulation which was initially approved by Japan's Cabinet stated that it backed the law as "a effort to fight the duopoly monopoly created by two giants in the industry Apple Inc. and Google LLC," and the law demonstrates the Japanese government's determination to work in conjunction with the EU when it comes to the enactment of regulations "of Big Tech firms such as Apple, Google and Amazon.com Inc. and Google LLC, who have gained significant influence over digital services across the globe."
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