After Japan enacted legislation to regulate Apple and Google last year, the Japanese Diet has now passed a law similar to the Digital Markets Act (DMA) in Europe on Wednesday.
Under this law, large companies like Apple and Google are prohibited from using their own app stores, platforms, or operating systems to interfere or block the sale of any app that is not developed by their own company. They are also forbidden from prioritizing their own products and services over others on search results.
The purpose of this legislation is to prevent large companies from monopolizing and dominating the market, as well as to increase competition in the digital platform business market.
Any company that violates the new law will be fined 20% of the revenue generated on the platform. If there are repeat offenses, the fine may increase up to 30% of the revenue. It is expected that the law will be enforced by 2025.
Source: KyodoNews
TLDR: Japan has passed a law similar to Europe’s Digital Markets Act to regulate companies like Apple and Google, aiming to prevent monopolistic behaviors and increase competition in the digital platform business market. Violating companies will face fines of up to 30% of revenue.
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