Japan to Force Apple to Allow Third Party App Stores, Alternate Payment Methods [Report]

Japan is preparing legislation that would require Apple and Google to allow outside app stores and alternate payment methods on their mobile operating systems, according to a new report from Nikkei Asia.

Legislation slated to be sent to the parliament in 2024 would restrict moves by platform operators to keep users in the operators' own ecosystems and shut out rivals, focusing mainly on four areas: app stores and payments, search, browsers, and operating systems.

The legislation would apply to companies based on criteria such as sales and user numbers. Penalties for violation could amount to around 6% of revenue earned from problematic activities.


For app stores, the government aims to allow third party app stores and payment systems, as long as they are secure and protect user privacy. For search, operators would be barred from giving preferential treatment to their own services.

Japan's effort follows the EU's Digital Markets Act, set for full implementation next year. The DMA requires gatekeepers like Apple to allow sideloading of apps, third party app stores, outside payment services, and more.

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