Japanese antitrust report calls for multiple app stores and more; Apple protests

A new Japanese antitrust investigation into the smartphone market suggests the possibility for new legislation to lower the dominant position of Apple and Google. It calls for multiple app stores for each platform.

Additionally, it suggests that the preinstallation of Apple and Google’s own web browsers on smartphones means that competitor apps are disadvantaged …

Kyodo News reports.

In the interim report following discussion about digital market rivalry, the government considers preinstalling of Google and Apple internet browsing apps in smartphones a problem.

The report proposed the introduction of rules to prohibit acts that prevent users making decisions and choices, as such practice could eliminate the room for competition.

The government expressed concerns about application developers having to pay a large fee to Apple because they cannot distribute their products outside of the company’s stores. It called for OS providers to be able to let users choose the store that suits them best.

Apple objected, but Google said it was studying the report.

Apple Inc. filed a protest on Tuesday after the Japanese government released a report suggesting that regulations could be introduced to allow fair competition in the market for smartphone operating systems. This market has long been controlled by two large U.S. tech companies.

The U.S. technology giant said in a statement, “We respectfully disagree with a number of conclusions” in the government report released the same day that expressed concern over the strong influence of Apple and Google in the OS market.

Apple stated that there is “intense competition” within each segment in which they operate, and that it would continue to engage constructively with Japan .”

Meanwhile, Google said in a separate statement that it has been actively cooperating with the government, highlighting how much it has contributed to the industry, and added it will further examine the contents of the report.

Apple is facing a huge range of antitrust investigations and lawsuits around the world, and there is bilateral support for legislation in the US, which might also force Apple to open the iPhone to third-party app stores. The company has been spending record sums on lobbying against these proposals.