‘Japanese government is working on law to break monopolies of large tech companies’

The Japanese government is said to be working on a new law that will require tech companies such as Apple and Google to allow alternative app stores and payment methods on their mobile platforms. The government wants to do something about the dominant position of some companies.

The new law will according to the Asian business newspaper Nikkei Asia targeting app stores, payment systems, search engines, browsers and operating systems. However, it is not yet clear what exactly the provisions will look like. The business newspaper does write that if the law comes into effect, the Japanese Trade Commission will ensure that it is complied with. The committee will therefore be able to issue fines that, according to Nikkei Asia, amount to approximately six percent of the turnover that the company has generated at that time through the prohibited activities.

The legislation would go to Japan’s parliament for a vote in 2024. If the law is passed, the government will decide which tech companies must comply. According to Nikkei Asia, the number of users of a platform and the sales figures achieved by the tech company in the Asian country will be taken into account.

Japan was in the news earlier this year after the government announced that it wanted to work on a bill that would require Google and Apple to allow alternative payment systems and app stores.

Apple App Store