April 24, 2025
TOKYO – Guidelines for a new law to regulate giant tech companies will clarify the prohibited acts of the firms imposing on app companies fees and other financial burdens that make it difficult for such companies to distribute apps on new app stores, sources said.
Tech giants have been found to circumvent restrictions and hinder the business of new app store market entrants in Europe, where similar regulations are already in place. The guidelines, therefore, are aimed at clarifying specific acts that constitute violations of the law and preventing companies from circumventing regulations.
The guidelines are scheduled to be published by July before the full implementation of the new law on promotion of competition for specified smartphone software by the end of the year.
The new law will prohibit tech giants from hindering other companies from providing app stores. However, in Europe, there have been reports that Apple Inc. charges high fees to app companies who distribute their apps to new app stores, making it difficult for them to use new app stores. Observers say that this in turn makes it difficult for other companies to enter the app store business.
Pornography apps have also emerged as a problem in Europe following the entry of other companies into the app store business. The guidelines therefore will state that allowing parents and others to restrict access to app stores provided by other firms does not constitute a violation from the perspective of protecting youth by preventing the use of age-restricted apps or unintended in-app purchases.
While the new law will prohibit large tech companies from taking discriminatory actions against app companies, the guidelines will clarify that screening apps for distribution is not a violation of the law from the perspective of ensuring cybersecurity and public order.
The provision is also meant to prevent dark patterns, or deceptive design elements on websites and apps that are meant to trick or manipulate users into consenting to something they did not originally intend.