Japan: Fair Trade Commission designated Apple, iTunes and Google as essential software under Act on promoting competition in smartphone software

On 26 March 2025, the Japan Fair Trade Commission designated Apple, iTunes, and Google as essential software under the Act on promoting competition in smartphone software. The designation applies to businesses providing mobile operating systems, app stores, browsers, and search engines that meet the specified business scale criteria. The Act prohibits designated businesses from engaging in certain anti-competitive practices and imposes compliance obligations, including the submission of an annual report detailing measures taken to ensure adherence. Following the designation the companies are subject to obligations on data use, the fair treatment of app providers, and interoperability. Moreover, the law requires operators to facilitate data transfer, allow changes to default settings, and obtain user consent for incorporating additional software.