Apple, Google Face Enforcement Calls for Japan Compliance

A Japanese developer survey found that over 90% of app developers have not used alternative stores or payment systems in Japan, despite the country's landmark smartphone competition law. The law, enacted in June 2024, aimed to promote competition by allowing third-party marketplaces and lower commission fees. However, Apple and Google's compliance with the law has been criticized for being economically irrational.

The Mobile Content Forum alleged that certain terms imposed by Apple and Google may violate the Mobile Software Competition Act. The forum called on the Japan Fair Trade Commission to step up enforcement. The survey also found that high fees and limited user uptake of alternative channels were the primary reasons developers cited for not switching.

The fee structure designed by Apple and Google in Japan is similar to their EU compliance, but with fewer options for lower-cost services. This has resulted in a total cost structure that differs only marginally from staying on the App Store under the old rules or is economically worse once integration and switching costs are factored in.