Apple’s iOS and Google’s Android software dominate the Japanese market. More than 90% of smartphones rely on the technology, according to the report. A February analysis by tech research firm IDC noted that Apple sold nearly one-half of all mobile phones in Japan in 2020.
What are Japan’s Concerns?
The Japanese government is concerned that the tech giants are conducting business dealings with domestic manufacturers differently than with those overseas. The panel, comprised of government officials, external experts, and bureaucrats, will collect information from manufacturers of domestic smartphone handsets, smart speakers, and personal computers. It is expected Japan will tighten antitrust legislation in the wake of the investigation.
EU Antitrust Initiatives
Japan joins a growing list of countries concerned with possible antitrust violations among big tech companies. Earlier this year, the European Commission concluded that Apple unfairly disadvantaged third-party app developers with strict limitations in its App Store. The findings follow the Commission’s ten-month investigation into antitrust violations. “Our preliminary finding is that Apple is a gatekeeper to users of iPhones and iPads via the App Store. With Apple Music, Apple also competes with music streaming providers. By setting strict rules on the App store that disadvantage competing music streaming services, Apple deprives users of cheaper music streaming choices and distorts competition. This is done by charging high commission fees on each transaction in the App Store for rivals and by forbidding them from informing their customers of alternative subscription options,” noted Executive Vice-President Margrethe Vestager, European Commissioner for Competition. Industry experts believe the EU will push for new legislation to address their findings.
U.S. Legislation Aimed at Big Tech
“Right now, unregulated tech monopolies have too much power over our economy,” Rep. David N. Cicilline (D-R.I.), chairman of the House antitrust panel, said in a statement. “Our agenda will level the playing field and ensure the wealthiest, most powerful tech monopolies play by the same rules as the rest of us.”