Japan made regulation plan for Google, Apple App Store

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Tokyo. Japan is reportedly working on a regulation that would require Google and Apple App Stores to allow third-party platforms and their billing systems.

The new regulation will ask Apple and Google to allow external app stores and payments on their mobile operating systems, Nikkei Asia reports.

The move is aimed at preventing their monopoly in the Japanese market. According to the report, the law, to be sent to Parliament in 2024, would restrict moves by platform operators to keep users within the operators’ own ecosystems and lock out rivals.

The report states that the bill will focus on four areas – App Store and Payments, Search, Browser and Operating System.

According to Nikkei Asia, the bill would give the Japanese Fair Trade Commission the power to impose fines on violators and would likely only affect foreign companies.

“If based on existing legislation, the fine would typically be around 6 percent of the revenue earned from problematic activities,” the report said.

Currently, in-app payments have to go through Apple’s system, which charges up to 30 percent commission.

Although Google allows third-party app distribution platforms, it still requires apps to use its billing system.

–IANS

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