スマホソフトウェア競争促進法1/APCSS1
This updated article offers an overview of Japan’s Act on Promotion of Competition for Specified Smartphone Software (APCSS), introduced to foster competition and limit monopolistic practices in the smartphone app ecosystem. The article compares Japan's law with similar initiatives in the U.S., EU, and South Korea and includes essential insights for foreign developers and firms operating in Japan.
1. Overview of Japan’s Act
Legal Classification and Purpose
Classification: The APCSS is a competition-focused administrative law enforced by the Japan Fair Trade Commission (JFTC).
Objective: This legislation aims to counter monopolistic behaviors by major tech companies like Apple and Google, focusing on mobile OS, app distribution, and payment platforms.
Background: Given the global influence of companies with significant market power, Japan’s Antimonopoly Act lacked the specific regulatory tools to ensure competitiveness in digital markets. In response, Japan passed this law to open its app market, promote consumer choice, and encourage innovation.
Implementation and Impact
Implementation: Designates key players, referred to as "Designated Providers," based on business scale criteria, mandating them to allow access to third-party app stores and alternative billing methods. The JFTC is empowered to monitor, investigate, and enforce penalties, including a potential 20% fine based on related turnover.
Expected Impact: Enhanced consumer choice, lower app-related costs, and broader market entry for smaller developers, while balancing necessary security protocols.
2. Global Comparisons of Smartphone Software Competition Laws
United States: Open App Markets Act
Overview: Prohibits exclusive practices by major platforms in app and payment ecosystems, granting developers more direct customer access.
Features: Allows third-party billing and competitive distribution methods.
Impact: Expected to reduce developer fees and enhance consumer choice through billing transparency.
European Union: Digital Markets Act (DMA)
Overview: Regulates “gatekeepers” like Apple, mandating open app and billing ecosystems.
Features: Ensures users can install apps from outside the official app store and supports enhanced choice and innovation.
Impact: Broadens competitive access, primarily benefiting consumers and smaller app developers.
3. Comparison of Japan’s Law with Other Jurisdictions
Key Regulatory Elements
Regulation Scope
Japan: Targets major platform providers in the domestic market, protecting consumer choice and fair competition.
US and EU: Scope extends across digital services with strong enforcement measures, covering a wide array of platforms and user rights.
4. Trends and Challenges in Global Smartphone Competition Laws
Rise of Digital Competition Laws: As monopolistic practices in tech grow, major economies like Japan, the EU, and the US have introduced or adapted laws to increase digital competition.
Balancing Security and Consumer Rights: Japan’s law allows some flexibility in security standards, but this has led to discussions about potential restrictions on competition.
Push for Global Standards: With the international nature of app ecosystems, countries are gradually working toward harmonizing regulations to tackle monopolistic practices effectively.
5. Key Points for Foreigners in Japan
App Store and Billing Access: Foreign developers and firms in Japan must adapt to new requirements allowing alternative app stores and payment systems, distinct from more restrictive practices in other regions.
Compliance Requirements: International firms designated as major providers under Japan’s law must adhere to compliance and reporting standards enforced by the JFTC.
Opportunities for Market Entry: The APCSS reduces barriers for new developers, making Japan a more attractive market for international entrants in digital app ecosystems.
References
Japan Fair Trade Commission: Overview and full text of the APCSS, focusing on regulatory details and penalties under the new law. Read more here
MacRumors: Updates on Japan’s requirements for Apple and Google to allow third-party app stores, offering insights on expected market impacts. Read more here
The Register: Context on the global legislative environment influencing Japan’s APCSS, including comparisons to the EU and U.S. digital markets laws. Read more here