Japan targets tech giants with new app market regulations

Japan targets tech giants with new app market regulations
/ Unsplash - Sergey Zolkin
By bno - Seoul Office July 31, 2025

Japan’s Fair Trade Commission has released new guidelines under a law designed to address monopolistic practices in the smartphone app sector, primarily targeting Apple and Google, Japan Today reports. The guidelines prohibit unfair treatment of third-party app stores that are not run by the two tech giants. Encouraging competition among app stores may lead to reduced commission fees for developers and, in turn, lower app prices for users, according to analysts.

Apple and Google currently control over 90% of Japan’s smartphone operating system market. App purchases and related payments are generally limited to their official platforms, creating barriers for rival services. A private research firm estimated that Japan’s app market generated around JPY2.4 trillion ($16.2bn) in revenue from in-app purchases in 2024 alone.

Apple has criticised the move, claiming it could undermine both user privacy and security while forcing the company to share its technologies and services without compensation—posing potential risks.

Japan’s parliament approved the law in 2024 to allow third-party developers easier access to the app ecosystem. Set to take full effect in December, the law mandates access to core OS functions such as voice calls and biometric ID. The JFTC also outlined 100 possible violations in its final guidelines.

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